ABSTRACT
Working capital management refers
to all aspects of administration of both current assets and current liabilities
use for the running of the day to day activities of a business. Working capital
management which is taken to be the driving force of a financial manager is an
integral part of the overall corporate management. The basic problems therefore
is that there is a loss of goodwill as at when due, holding of stock in term of
raw material and finished goods which lead to the accumulation of cost such as
warehouse cost, capital tie down cost, deterioration and obsolescence cost. The
objective of research work is to evaluate and assess the impact of working
capital management on corporate performance of a company. To determine whether
effectiveness of working capital management will lead to improvement in
planning, budgeting and control of liquidity, profitability and cost reduction
in a manufacturing company. To carry out the research study, a research
question were formulated in line with objectives of the study and was
administered to staff of the selected companies. The data obtained were
analyzed using tables and simple percentages, chi-square (X2) statistical tools
was used in the hypothesis testing stated in chapter one of this study. Based
on the result of hypotheses tested the finding are that company mostly focuses
on liquidity management. Planning, budgeting and control of working capital are
necessary for effective management of the liquidity of a large manufacturing
company. The recommendation includes that the financial manager must determine
levels and composition of current asset. That the financial manager must see
that the right sources are tapped to finance current asset and that current
liabilities are paid in time. The company should adopt a more aggressive debt
management policy to ensure that unnecessary fund are not tied up in debtors.
NWOSU, U (2021). Impact Of Working Capital Management On Corporate Performance A Study Of Selected Public Limited Liability Companies In Nigeria. Mouau.afribary.org: Retrieved Nov 26, 2024, from https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-corporate-performance-a-study-of-selected-public-limited-liability-companies-in-nigeria-7-2
UGONNA, NWOSU. "Impact Of Working Capital Management On Corporate Performance A Study Of Selected Public Limited Liability Companies In Nigeria" Mouau.afribary.org. Mouau.afribary.org, 07 Jul. 2021, https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-corporate-performance-a-study-of-selected-public-limited-liability-companies-in-nigeria-7-2. Accessed 26 Nov. 2024.
UGONNA, NWOSU. "Impact Of Working Capital Management On Corporate Performance A Study Of Selected Public Limited Liability Companies In Nigeria". Mouau.afribary.org, Mouau.afribary.org, 07 Jul. 2021. Web. 26 Nov. 2024. < https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-corporate-performance-a-study-of-selected-public-limited-liability-companies-in-nigeria-7-2 >.
UGONNA, NWOSU. "Impact Of Working Capital Management On Corporate Performance A Study Of Selected Public Limited Liability Companies In Nigeria" Mouau.afribary.org (2021). Accessed 26 Nov. 2024. https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-corporate-performance-a-study-of-selected-public-limited-liability-companies-in-nigeria-7-2