Impact of Working Capital on Profitability of Consumer Goods Companies in Nigeria:- Anyaele Justina U

ABSTRACT

This study is an empirical investigation ofthe impact ofworking capital on the profitability of consumer goods companies in Nigeria. To achieve this study, research questions were raised and hypotheses were formulated, and a review of related literature was made. The main objective of this study is to examine the impact of working capital on the profitability of consumer goods companies in Nigeria. The study employed ex-postfacto research design where data was sourced secondarily from annual reports of selected consumer goods companies , Total population oftwenty eight (28)consumer goods companies in the Nigerian Stock Exchange (NSE) was studied with particularly lhree(3)sample size which was estimated using purposive sampling technique. The data sourced covered the range of2014-2018. simple linear regressions were used to analyze the data collected. Thus the following findings was made based on the analysis that there is a postive and significant relationship between working capital and profitability, Sequel to the findings and conclusion the research made the following recommendations that financial manager should have knowledge of the sources of working capital funds and innovate efficient ways ofmanaging working capital to optimize its potential so as to avoid waste