Browsing by Author "Emmanuel Ofori Aidoo"

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    Effect Of Working Capital Management On The Profitability Of Listed Manufacturing Companies In Ghana
    (knust, 2021-02) Emmanuel Ofori Aidoo
    Effective Control Of Working Capital Is Thus Vital To The Profitability Of Companies, And It Is Wise For The Management Of Firms To Make Available The Correct Quantity Of Resources To Handle Working Capital. The Key Objective Of The Analysis Was To Create A Statistical Relationship Between The Profitability Determined By The Return On Assets And The Working Capital Components, Such As The Cash Conversion Time (Ccc), The Average Account Receivables (Aar), The Average Account Payables (Aap) And The Inventory Turnover Days (It). Size And Growth Have Been Established As Control Variables. Sample Size Of Six (6) Manufacturing Firms Listed On The Ghana Stock Exchange (Gse) For The Financial Years 2009 To 2019 Was Used For The Study. The Findings Revealed A Fairly Negative Relationship Between The Profitability And Inventory Turnover And Cash Conversion Cycle, Whiles A Positive Relationship Between The Average Account Receivables And The Average Account Payables. This Implies That A Reduction In The Periods For Receiving Cash, A Decrease In The Period For Paying Cash And A Reduction In The Cash Conversion Cycle Will Cause An Increase In Profit. All Other Control Variables Showed A Positive Relationship With Profitability. Hence, The Study Recommends That Trading Companies Should Manage Their Working Capital More Efficiently To Keep It In Equilibrium.