Liquidation
Liquidation is the act of ending the existence of a company. The company is said to be "in liquidation" when somebody (a liquidator) has been appointed to wind it up.
A company will go into liquidation if it is unable to pay its debts. Its assets will be sold and whatever money raised will go to settling its debts.
A company may also be put into liquidation by its directors merely if they wish to cease trading - for example, many investment trusts are run for a finite period of time.
At the end of the allotted timespan the trust is liquidated, the assets realised into cash and the cash distributed to the trust's shareholders.