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What does liquidation mean?

Looking for the meaning or definition of the word liquidation? Here's what it means.

Noun
  1. The act of exchange of an asset of lesser liquidity with a more liquid one, such as cash.
  2. The selling of the assets of a business as part of the process of dissolving the business.
  3. murder
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Examples
About 300 employees were retrenched when the companies were placed in provisional liquidation.
An abrupt reversal caught the markets off-guard, requiring an immediate liquidation of leveraged long positions.
The resellers' names came to Microsoft through a dodgy distributor which went into liquidation.
Of course, if the company went into liquidation, that would be a different question.
The company says if a rescue package is not agreed soon, it will face liquidation or receivership within three weeks.
You could have an action like this early on in the liquidation of an insurance company that wrote long-tail insurance.

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