Research Article

An In-depth Analysis of the Relationship between Liquidity and Profitability, Vis-à-vis, Tata Pigment Limited

Amar Kumar Chaudhary
Ranchi University, India
Swati Raja
Ranchi University, India
* Corresponding author
DOI icon 10.24018/ejbmr.2021.6.3.881

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Submitted 2021-05-07
Published 2021-06-04

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Article Main Content

The present study aims to acknowledge the pre-eminent relationship between the liquidity and profitability which performs a key role in corporate finance. The liquidity management performs an indispensable role as deficient liquidity and surplus liquidity both affects the functioning, profitability, and growth of any organization. The present study analysis is on Tata Pigments Ltd for a period from 2013-14 to 2018-19. The empirical and analytical study applies descriptive statistics, correlation, and regression to test the hypothesis of the study. The findings suggest that there is no significant relationship between the liquidity and profitability. The liquidity indicators do not affect the profitability ratios.

Keywords: Liquidity, Management Policy, Profitability and Tata Pigments

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