Investigating the Relationship between Cash Conversion Cycle and ROA, ROE, Tangible Assets and Equity Multiplier (Case Study: Listed Companies in Tehran Stock Exchange)

The purpose of this paper is surveying the relationship between cash conversion cycle (ccc) and ROA, ROE, tangible assets and equity multiplier of listed companies in Tehran Stock Exchange (TSE). 112 companies listed in Tehran Stock Exchange for the period of 2008–2012 constitute the statistical population of the present study. Multivariate linear regression analysis was used to test the research hypotheses. The results of the research hypotheses test indicate that generally there is a meaningful relationship between CCC and size: negatively influence on tangible assets, positively influence on equity multiplier as well as ROA but the effects of CCC and size on ROE for small and big firms are mixed.