Inventory Effectiveness and Nigeria Manufacturing Companies: Analysis with Return on Equity
Message:
Article Type:
Research/Original Article (دارای رتبه معتبر)
Abstract:
This study examined the impact of inventory management on the profitability of selected manufacturing companies in Nigeria. Specifically, the study determined the effect of inventory management on return on equity.  The data were sourced from annual published reports of ten selected companies. The data sourced were inventory, asset, revenue, equity, turnover, and profit after tax. The data collected were analyzed with panel data using random effect, fixed effect, regression, and correlation. The result showed that return on equity has a good correlation with inventory. Also, it was discovered from the analysis that according to the Fixed effect result, inventory positively affects return on equity. Still, the asset has a negative effect on Profitability. Turnover and equity have a significant positive effect on return on equity. Conclusively, inventory positively impacts return on equity in Nigerian manufacturing companies. It recommended that Nigerian manufacturing companies should not trivialize inventories but put more effort into the management of inventory so that the profitability of the company will be efficiently enhanced and increased at an increasing rate so that investors’ investment will be multiplied because rational investors discard unproductive company to accept the profitable companies.
Language:
English
Published:
Iranian Journal of Accounting, Auditing and Finance, Volume:7 Issue: 4, Autumn 2023
Pages:
1 to 12
magiran.com/p2637581  
دانلود و مطالعه متن این مقاله با یکی از روشهای زیر امکان پذیر است:
اشتراک شخصی
با عضویت و پرداخت آنلاین حق اشتراک یک‌ساله به مبلغ 990,000ريال می‌توانید 70 عنوان مطلب دانلود کنید!
اشتراک سازمانی
به کتابخانه دانشگاه یا محل کار خود پیشنهاد کنید تا اشتراک سازمانی این پایگاه را برای دسترسی نامحدود همه کاربران به متن مطالب تهیه نمایند!
توجه!
  • حق عضویت دریافتی صرف حمایت از نشریات عضو و نگهداری، تکمیل و توسعه مگیران می‌شود.
  • پرداخت حق اشتراک و دانلود مقالات اجازه بازنشر آن در سایر رسانه‌های چاپی و دیجیتال را به کاربر نمی‌دهد.
In order to view content subscription is required

Personal subscription
Subscribe magiran.com for 50 € euros via PayPal and download 70 articles during a year.
Organization subscription
Please contact us to subscribe your university or library for unlimited access!