EFFECT OF LIQUID ASSET MANAGEMENT ON THE PERFORMANCE OF QUOTED INDUSTRIAL AND CONSUMER GOODS SECTORS, SOUTH EAST, NIGERIA

Abstract

The study examined the effect of liquid assets management on the performance of quoted industrial and consumer goods, sectors south east, Nigeria. The specific objectives tend to; Ascertain the relationship between inventory and assess the relationship between account receivables and turnover of consumer goods sectors. The study adopts an ex-post facto research design. A secondary data was obtained from the published financial statements and accounts of sampled firms quoted on the Nigeria Exchange Group. Pearson’s correlation coefficient was used to measure the linear correlation between two variables. The data were analyzed using regression parameters. The result revealed that Inventory have a strong (94%) positive relationship with operational performance (proxied by turnover) of quoted industrial goods firms in Nigeria. while Account Receivables have a strong (72%) positive relationship with operational performance (proxied by turnover) of quoted industrial goods firms in Nigeria. The study concluded that liquid assets management has significant positive effect on the performance of quoted industrial and consumer sectors in south east, Nigeria was investigated for the twelve-year period. The study recommended among others that the management of listed quoted industrial and consumer goods sectors in Nigeria should consolidate on their inventory as the result revealed that the higher the inventory, the higher the turnover of the firms.