The effect of working capital management on company profitability with emphasis on company size

Today, in all business units, working capital accounts for the majority of the company's capital, and therefore, working capital management is one of the important duties of the financial manager of the company and plays an important role in achieving the goals, policies and successes of the company. The article investigated the effect of working capital management on the profitability of the company with emphasis on the size of the company. The statistical population of this research is all the companies admitted to the Tehran Stock Exchange, which were active in the stock exchange between 2016 and 2016. The total number of companies admitted to the stock exchange during these years is 636 companies. Due to the large sample size and to select the appropriate sample size, screening or systematic exclusion method is used, in order to achieve the general goal of the research, two hypotheses were formulated. The results showed that working capital management had an effect on the company's profitability (confirmation of the first hypothesis of the research) and also that the size of the company has an inverse effect on the relationship between working capital management and profitability of the companies (confirmation of the second hypothesis of the research).