ABSTRACT

The  main  objective  of  this  research work  is  to  evaluate  the  effects  of  working  capital management on the profitability  of the manufacturing company in Niegria: A  Study of Pz Cussons. The specific objectives were to analyze the effect of cash receivables on theprofitability of PZ Cussons Nigeria Pie,  to determine the effect of inventories on the profitability of PZ Cussons Nigeria Pie;  to analyze the effect of marketable securities on the profitability of PZ Cussons Nigeria  Pie,  and  to  evaluate  the  relationship between current  liabilities on  the profitability  of  PZ  Cussons Nigeria  Pie.  The study  adopted time  series  research design. Secondary data was collected from a 12-Year Annual Report of PZ Cussons Nigeria Pie (2005-2016).  The study used multiple regressions in the analysis of data.  From the findings,  it is observed that cash receivable was significant at 1%  and has positive effect on profitability; inventories were significant at 1% and have positive effect on profitability. This implies that increase in inventories  leads to increase in the profitability of the enterprise;  inventories were significant at  1%   and  have positive  effect on profitability; marketable securities was also

significant at 5% and has positive effecton profitability; current liabilities was significant at 5%, but negatively affects the profitability of the enterprise; the correlation coefficient (r) value of -

0.38   indicated  a  negative  relationship  between  current  liabilities  and profitability.  The coefficient of determination (r2)  value of -0. 318  explained the rate of percentage change in profitability attributed to increase in current liability.  This value of 0.38,  showed that current liability is a good predictor of profitability.  The study recommended the firm should review and up-date  the cash receivables to  reflect the present  circumstances so  as  to enhance rapid profitable growth. This will help the firm to recover more revenuefrom those who are owing the firm; the firm should introduce introduce an effective inventory control system.  This will help in periodic stock evaluation,  materials management and profitability; the firm should re-examine their in order to ensure its conformity in financial needs of the organization; and that the firm should above all reduce their current liabilities.  This will reduce its adverse effects on   the solvency of the enterprise.

TABLE  OF CONTENTS                                       , 

Title  page

Certification

Dedication

Acknowledgement '

Table of content

 List of Tables 

Abstract

CHAPTER ONE: INTRODUCTION

1.1       Background  to the Study

1.2        Statement  of the Problem

1.3          Objectives  of the Study

1.4        Research  Questions

1.5       Hypotheses

1.6      Scope of the Study

1.7         Limitations  of the Study

1.8      Significance  of the Study

l.9       Definitions  of Terms

CHAPTER   TWO:  LITERATURE   REVIEW

2.1         CONCEPTUAL  FRAME  WORK

2.1.1      Working Capital  Management

2.2        Theoretical   Frame Work

2.3       Empirical  Review

2.3.1     The Need for Working Capital

2.3.2   Components  of Working  Capital

2.3.3  Optimum Cash Balance

2.3.4 Financial  Working  Capital

2.3.5  Profitability  as a Measure  of The Firm's  Performance.

CHAPTER THREE:  RESEARCH   METHODOLOGY

  CHAPTER FOUR:  RESULTS   AND DISCUSSIONS

CHAPTER   FIVE:  SUMMARRY,  CONCLUSIONS    AND RECOMMENDATIONS

5.1         Summary                                                                                                                            41

5.2       Conclusions                                                                                                                         41

5.3         Recommendations                                                                                                              42

REFERENCES

APPENDIX

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