Asia Pacific Journal of Research in Business Management
  • Year: 2011
  • Volume: 2
  • Issue: 9

Does Working Capital Management Influencing the Firms Profitability? An Empirical Evidence Of Amararaja Batteries Ltd

  • Author:
  • Rajesh Kumar, S. Kodan, Amit Yadav, Sandeep Mehra
  • Total Page Count: 10
  • Page Number: 21 to 30

*Department of Commerce, M.D. University, Rohtak, Haryana

**IPD, College, New Delhi

***M.D. University, Panipat Thermal Power Plant, Haryana

Online published on 10 January, 2012.

Abstract

In this paper, we have explores the impact of liquidity on firm profitability as well as impact of working capital components on firm profitability. For this purpose Amararaja Batteries Limited has been taken as a DMU and used rank correlation and multiple regression models to achieve the above said objectives. The study indicates that there is no significant link between liquidity and profitability of DMU and further, Two (i.e., CR is negative and DTR is positive) out of eight components of WC are significantly associated to the profitability of Amararaja Batteries Ltd.

Keywords

Working Capital, Liquidity, Profitability, DMU