Theoretical and Applied Economics
No. 3 / 2022 (632), Autumn
Cash conversion cycle and its relationship with profitability as a cash management tool in companies: An application on companies trading in Borsa Istanbul
Cankiri Karatekin University, Turkey
Yusuf GÖR
Cankiri Karatekin University, Turkey
Abstract. This study examines the relationship between companies' cash cycle and profitability ratios. For this purpose, 30 companies traded in Borsa Istanbul with the highest net profit were selected, and the data obtained were subjected to panel data analysis. In the study, statistically significant, positive and negative relationships were found between the explanatory variables and the dependent variables of ROA and ROE. There are statistically significant and negative relationships between the explanatory variables of CCC, leverage and the dependent variable of ROA, as expected. Asset turnover ratio and firm size positively and significantly affect the ROA. Asset turnover positively and significantly affects the return on equity. The short-term debt repayment period is statistically effect the return on assets but the other factors used in calculating the CCC do not have any effect.
Contents
Financial development and public debt. Estimating the role of institutional quality
An econometric approach to analyse the perceived cartel behaviour of OPEC
Global Competitiveness Index 4.0 and export performances of the European economies
Multifractal analysis of equities. Evidence from the emerging and frontier banking sectors
Using automated systems to run a modern state and benchmarking the solution with advanced indicators
Health expenditure, life expectancy, fertility rate, CO2 emissions and economic growth Do public, private and external health expenditure matter?
The economic effects of working remotely: causes and implications
Cash conversion cycle and its relationship with profitability as a cash management tool in companies: An application on companies trading in Borsa Istanbul
Measuring financial inclusion and its present status in South Asian countries. Evidence from a multidimensional Financial Inclusion Index
Stock market linkages in Asia. Revisiting Granger causality evidences
The effects of exchange rate changes on the bilateral trade balances between the MENA country group and France: empirical evidences based on non-linear ARDL approach
Postmodernism and communication in education. European funds for combatting school dropout in Romania
Fiscal and monetary policy effects on economic growth in Romania (1990-2020)
Economic growth at the expense of technology
Inflation seriously affects the standard of living of the population