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Effect of working capital management and profitability of organization in First Bank Jalingo, Taraba state, Nigeria

 Department: Business Administration and Management  
 By: usericon SIRJOSEPH  

 Project ID: 7364
   Rating:  (3.5) votes: 2
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   Price:₦3000
Abstract
This study aimed to examine the impact of working capital management on the profitability of Deposit Money Banks (DMBs) quoted on the Nigerian Stock Exchange for a five-year period (2017-2021). The study adopted an ex-post factor research design, which made use of secondary data collected from the annual report and accounts of deposits money listed on the Nigerian Stock Exchange market. However, Partial correlation and regression were used to analyze the data using STATA version 14. The study adopts Returns on Equity (ROE) and Returns on Assets (ROA) as dependent variables for profitability while Current ratio (CRR), Profit before taxation to current liabilities (PCL), Operating cash flow to current liabilities (OCL) and Cash balance to total liabilities (CTL) are proxies for working capital and as well independent variables. The annual account and report of five (5) deposit money banks quoted on the Nigerian Stock Exchange as of 2021 served as the sources of data, and regression was used to determine the relationship between the dependent and the independent variables. The finding from this study reveals a significant and positive relationship between working capital management and the profitability of the DMBs in Nigeria. The findings further indicate that the two profitability proxies are positively affected by all the elements of working capital management. Based on the findings, this study recommends all deposit money banks ensure the appropriate management of working capital as it will be essential for achieving its objective of maximizing profitability....
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