CHAPTER ONE INTRODUCTION Background to the Study (original) (raw)

AI-generated Abstract

The study investigates the impact of working capital management on the profitability of listed manufacturing firms in Ghana over a ten-year period (2005-2014). Utilizing panel data regression models, it finds that working capital management significantly accounts for 77.2% of profitability variations, highlighting crucial components such as accounts receivables, accounts payables, inventory management, and the cash conversion cycle. Key findings indicate that longer accounts receivable periods negatively affect profitability, while effective management of current ratio and firm size positively influences financial outcomes.