Title

Liquidity Management and Control: A Comparative Study of Torrent Pharma and Cipla.

Authors

Bardia, S. C.; Kastiya, Shweta

Abstract

The paper discusses the application of quantitative techniques, besides the use of the technique of ratio analysis, to empirically analyze liquidity management, an important aspect of financial management, by using the financial information of two leading pharmaceutical companies of India. It covers a period of nine years (2000-01 to 2008-09). Six different liquidity ratios were used for this purpose. The paper highlights the application of hypothesis testing technique (both parametric and non-parametric tests) in comparing the performance of the two companies on all six parameters of liquidity analysis to examine and interpret the financial data. The study also offers useful suggestions to strengthen the liquidity management of the selected companies.

Subjects

LIQUIDITY (Economics); CIPLA Ltd.; TORRENT Pharmaceuticals Ltd.; RATIO analysis; FINANCIAL management

Publication

IUP Journal of Accounting Research & Audit Practices, 2010, Vol 9, Issue 3, p81

ISSN

2583-5211

Publication type

Academic Journal