“THE RELATIONSHIP BETWEEN WORKING CAPITAL MANAGEMENT AND PROFITABILITY OF MANUFACTURING COMPANIES”

Abstract

Working capital management is an important thing for performance and sustainability of manufacturing firms. These companies are required to make massive investments of their company include inventory and receivables. Proper management of an organization's asset and liability is crucial to a company’ s profit and liquidity. The study’ s first objective is to determine how profit of manufacturing firms. The ratios that are used in our include: Cash conversion cycle, Inventory turnover, Current ratio and Working capital turnover. The profitability ratios were also taken into consideration.