Assessing financial health of the firm through accounts payable

  • Unique Paper ID: 165598
  • Volume: 11
  • Issue: 1
  • PageNo: 1320-1323
  • Abstract:
  • The main objective of the study is to find out the company ability to pay its accounts payable using operating cash flow at PROCONNECT SUPPLY CHAIN SOLUTION LIMITED. The secondary objectives of the study is to suggest the remedial measures based on the findings. In this study about the account payable performance in the company. Primary data such as balance sheet of the company for past three years is collect for the annual report of the company. Generally statistical tools such as Ratio analysis and Regression method have been used for analysis and interpretation. This financial analysis delves into key liquidity and liability ratios to assess a company’s short- term financial health. The current ratio, quick ratio, payable as a percentage of total liabilities, cash flow payable ratio, and accounts payable turnover ratio have been scrutinized. Moreover, the observation of a smaller proportion of total liabilities in the form of payables suggests efficient liability management, presenting an opportunity to reduce reliance on short-term debt.

Copyright & License

Copyright © 2025 Authors retain the copyright of this article. This article is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

BibTeX

@article{165598,
        author = {LOGAPRIYA K and Dr. BAIG MANSUR IBRAHIM},
        title = {Assessing financial health of the firm through accounts payable},
        journal = {International Journal of Innovative Research in Technology},
        year = {},
        volume = {11},
        number = {1},
        pages = {1320-1323},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=165598},
        abstract = {The main objective of the study is to find out the company ability to pay its accounts payable using operating cash flow at PROCONNECT SUPPLY CHAIN SOLUTION LIMITED. The secondary objectives of the study is to suggest the remedial measures based on the findings. In this study about the account payable performance in the company. Primary data such as balance sheet of the company for past three years is collect for the annual report of the company. Generally statistical tools such as Ratio analysis and Regression method have been used for analysis and interpretation.
This financial analysis delves into key liquidity and liability ratios to assess a company’s short- term financial health. The current ratio, quick ratio, payable as a percentage of total liabilities, cash flow payable ratio, and accounts payable turnover ratio have been scrutinized. Moreover, the observation of a smaller proportion of total liabilities in the form of payables suggests efficient liability management, presenting an opportunity to reduce reliance on short-term debt.
},
        keywords = {Total liability, cash flow payable ratio and accounts payable.},
        month = {},
        }

Cite This Article

  • ISSN: 2349-6002
  • Volume: 11
  • Issue: 1
  • PageNo: 1320-1323

Assessing financial health of the firm through accounts payable

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