Financial Ratio Analysis: A Case Study from Milan Fashions Coat Company | Chapter 1 | An Overview on Business, Management and Economics Research Vol. 5

 Financial calculations have traditionally served as the pillar for measuring guest performance.  This case study tries the debt status of a guest as it strives to expand allure manufacturing operations.  The party requires commercial money to expand, but allure business venture and financial status are believed risky, accordingly it must contact a commercial bank to obtain resources.   A bank lending officer must review the guest's financial reports to determine whether a loan is doable. The lending deputy must evaluate significant portions of the firm's fiscal accounts, do ratio reasoning, and then determine whether to extend the loan.

Author(s) Details:

Ronald Richter,
Department of Finance and Economics, Rutgers University, USA.

Arthur S. Guarino,
Department of Finance and Economics, Rutgers University, USA.

Please see the link here: https://stm.bookpi.org/AOBMER-V5/article/view/12422

Corporate Financial Stability: An Immutable Link between Going Concern and Earning Capacity of Firms| Chapter 6 | Current Aspects in Business, Economics and Finance Vol. 6

 Globally, financiers have become more concerned about allied survival than immediate economic gains. Most financial analysts use traditional richness metrics to gauge the monetary health of prospective firms immediately. However, these metrics are often lacking of the adequacy and precision wonted of the information they generate. Specifically, very productive valuations and firms’ financial stability versification are corporate finance indications which are not always next to with individualized industrialized analytics. This study aims to improve on this by equating the efficacy of the existing monetary health indicators of firms accompanying their perceived going concern indications generated utilizing the new measurement technique received in this study. Ex-post facto research was used in the study, that included 91 companies filed on the Nigerian Stock Exchange and the National Stock Exchange of India.  Data analysis method involves multivariate regression analysis, ANOVA and Pearson equating. Results indicate that the going concern percentage (GCR) introduced in this place study has significant relationships accompanying firms’ earning capacity, allied financial stability percentage, Altman’s Z-score and Enyi’s relative solvency ratio (RSR). Nevertheless, the current percentage (CR) returned no significant friendship with GCR, indicating that the effectiveness of the current ratio in deciding corporate solvency rank is seriously impaired in spite of changing financing example.

Author(s) Details:

Enyi, Patrick Enyi,
Babcock University, Ilishan-Remo, Nigeria.

Please see the link here: https://stm.bookpi.org/CABEF-V6/article/view/8740

Emphasizing the Working Capital Management and Firms’ Profitability: Evidence from Quoted Firms on the Nigerian Stock Exchange | Chapter 14 | New Ideas Concerning Science and Technology Vol. 4

 Over the years, it seemed that businesses were not subject to careful management of short-term assets, resulting in either excessive or insufficient working capital, which in turn affected their profitability. Working capital and the series that it shapes are handled by management of working capital. This paper analyzed working capital management and the profitability of companies in Nigeria quoted companies on the Nigerian Stock Exchange to empirically satisfy this (NSE). In order to examine this relationship based on a balanced panel of 10 listed firms during the period 2008-2017, a panel data approach was used with various regression estimators. It was found that the cash collection duration and the cash delivery period had a negative effect on the return on assets, but the impact was only significant for the −0.064 cash payment period (p = 0.000 < 0.05) on the field, as opposed to the −0.032 cash collection period estimate (p = 0.077 > 0.05). It was also found that both the current ratio and the inventory duration had a positive effect on the return on assets, but the impact was only significant for the current ratio of 8.172 (p = 0.000 < 0.05) on the land, as opposed to the estimate of 0.045 (p = 0.438 > 0.05) for the inventory period. The study concluded that the management of working capital influenced the profitability of companies in Nigeria. It was also advised that although the shorter collection was retained, payment to creditors should not be extended in order to enjoy cash discounts (if any) and that businesses should be cautious in the management of raw materials in order to prevent idle capital that could have a detrimental effect on their financial performance. Finally, the researcher suggests conducting additional studies and analysis on the management of working capital and the profitability of companies in the banking sector.

Author (s) Details

Olaoye Festus Oladipupo
Department of Accounting, Ekiti State University, Ekiti State, Nigeria.

Falana Olatunbosun
Department of Accounting, Ekiti State University, Ekiti State, Nigeria.

View Book :- https://stm.bookpi.org/NICST-V4/issue/view/13