AN EVALUATION OF WORKING CAPITAL POLICIES AND THEIR IMPACT ON PROFITABILITY OF FIRMS

ATTENTION

BEFORE YOU READ THE ABSTRACT OR CHAPTER ONE OF THE PROJECT TOPIC BELOW, PLEASE READ THE INFORMATION BELOW.THANK YOU!

INFORMATION:

YOU CAN GET THE COMPLETE PROJECT OF THE TOPIC BELOW. THE FULL PROJECT COSTS N5,000 ONLY. THE FULL INFORMATION ON HOW TO PAY AND GET THE COMPLETE PROJECT IS AT THE BOTTOM OF THIS PAGE. OR YOU CAN CALL: 08068231953, 08168759420

WHATSAPP US ON  08137701720

AN EVALUATION OF WORKING CAPITAL POLICIES AND THEIR IMPACT ON PROFITABILITY OF FIRMS

ABSTRACT

The management of current assets and short term funds is as important as that of

fixed assets and long term funds. Therefore, the need for effective working capital

management cannot be overemphasized in manufacturing companies for realization

of their objectives. The effectiveness of that working capital management depends

largely on proper financing of working capital. It was therefore considered

appropriate in this research to evaluate the impact of working capital financing

policies on profitability of manufacturing firms in Nigeria. The main objective of the

study was to come up with evidences that establish the relationship between working

capital policy and profitability of a firm, and identify the working capital policy that

contributes most to the profitability of a firm under different conditions. To achieve

this objective, six (6) manufacturing companies that are quoted in the Nigerian Stock

Exchange were selected as a case study, and a sample of one hundred and fifty (150)

respondents who were employees of the companies was used in the study. Thus, data

from primary sources were analyzed using simple descriptive research design. In

addition, three (3) hypotheses were formulated and tested for significance using the ttest statistic technique. The secondary data were collected from the published

financial statements of the companies under study and analyzed using correlation

coefficient and financial ratios for the period 1999 to 2003. The research revealed that

companies using different working capital policies had different profitability, which

concluded that there is significant relationship between working capital policy and

profitability of manufacturing company, and such relationship depends on the

operating performance of the firm. It was also discovered that manufacturing

companies that adopt conservative working capital policy are more profitable

especially when the demand for company’s product is high. Finally, the researcher

recommended that manufacturing companies should employ qualified financial

managers so as to effectively control cost of production and balance the trade off

between cost of sales and quality of products manufactured in order to boost sales. It

was also recommended that factors affecting working capital needs should be

critically studied, so that investment in working capital would be appropriate to avoid

high risk of uncertainties.

TABLE OF CONTENT

Title page- – – – – – – – – i

Approval page – – – – – – – -ii

Dedication – – – – – – – – -iii

Acknowledgement – – – – – – – -iv

Abstract – – – – – – – – – -v

Table of content – – – – – – – -vi

CHAPTER ONE

INTRODUCTION – – – – – – – -1

1.0 Background of the study – – – – -1

1.1 Statement of the problem – – – – -5

1.2 Purpose of the study – – – – – -6

1.3 Significance of the study – – – – -8

1.4 Research questions – – – – – -9

1.5 Scope of the study – – – – – – -10

CHAPTER TWO

LITERATURE REVIEW – – – – – – -11

CHAPTER THREE

Research methodology – – – – – – -39

Design of study – – – – – – – -40

CHAPTER FOUR

Presentation, analysis and interpretation of data – -48

CHAPTER FIVE

Summary of findings – – – – – – -60

Conclusion – – – – – – – – -61

Recommendations – – – – – – – -62

Suggestions for further research – – – – -64

References – – – – – – – – -65

Appendix I – – – – — – – – -68

Questionnaire. – – – – – – – -69

HOW TO RECEIVE PROJECT MATERIAL(S)

After paying the appropriate amount (#5,000) into our bank Account below, send the following information to

08068231953 or 08168759420

(1)    Your project topics

(2)     Email Address

(3)     Payment Name

(4)    Teller Number

We will send your material(s) after we receive bank alert

BANK ACCOUNTS

Account Name: AMUTAH DANIEL CHUKWUDI

Account Number: 0046579864

Bank: GTBank.

OR

Account Name: AMUTAH DANIEL CHUKWUDI

Account Number: 3139283609

Bank: FIRST BANK

FOR MORE INFORMATION, CALL:

08068231953 or 08168759420

AFFILIATE LINKS:

myeasyproject.com.ng

easyprojectmaterials.com

easyprojectmaterials.net.ng

easyprojectsmaterials.net.ng

easyprojectsmaterial.net.ng

easyprojectmaterial.net.ng

projectmaterials.com.ng

googleprojectsng.blogspot.com

myprojectsng.blogspot.com.ng

https://projectmaterialsng.blogspot.com.ng/
https://foreasyprojectmaterials.blogspot.com.ng/
https://mypostumes.blogspot.com.ng/
https://myeasymaterials.blogspot.com.ng/
https://eazyprojectsmaterial.blogspot.com.ng/
https://easzprojectmaterial.blogspot.com.ng/

Leave a Reply

Your email address will not be published. Required fields are marked *