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Effect of Cash Conversion Cycle Management on the Profitability of Industrial and Domestic Product Firms in Nigeria
Journal of Investment and Management
Volume 5, Issue 6, December 2016, Pages: 99-106
Received: Sep. 4, 2016; Accepted: Sep. 22, 2016; Published: Oct. 15, 2016
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Authors
Madubuko Cyril Ubesie, Department of Accountancy, Enugu State University of Science and Technology, Enugu, Nigeria
Anastasia Duru, Department of Accountancy, Enugu State University of Science and Technology, Enugu, Nigeria
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Abstract
The study examined the effect of cash conversion cycle on the profitability of Industrial and Domestic product firms in Nigeria. Receivable ratio, payable ratio and Inventory ratio, were the variables studied in this study. Data were sourced from the annual reports of the selected Industrial and Domestic companies in Nigeria. Generalized least square multiple regression analytical tool was used to test the Hypotheses. The findings show that, AR and AP had significant positive effect on the industries’ profitability ratio at 1% level of significance. On the other hand, the industries’ INV had significant but negative effect on the profitability ratio at 1% level of significance.
Keywords
Cash Conversion, Profitability, Multiple Regressions
To cite this article
Madubuko Cyril Ubesie, Anastasia Duru, Effect of Cash Conversion Cycle Management on the Profitability of Industrial and Domestic Product Firms in Nigeria, Journal of Investment and Management. Vol. 5, No. 6, 2016, pp. 99-106. doi: 10.11648/j.jim.20160506.12
Copyright
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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