Volume : 5, Issue : 12, December - 2016

AN ANALYSIS OF LIQUIDITY MANAGEMENT OF SELECT PHARMACEUTICAL COMPANIES IN INDIA

Mrs. S. Vimala, Dr. J. P. Kumar

Abstract :

<p>&nbsp;<span lang="EN-IN" style="text-align: justify; font-size: 12pt; line-height: 150%; font-family: &quot;Times New Roman&quot;, serif;">The term &lsquo;Liquidity&rsquo; refers to the ability of a firm to meet its obligations in the short run usually one year. The Liquidity resources of a firm may be kept in various forms: cash in hand and cash at bank in current assets, reserve drawing power under a cash credit or overdraft arrangement and short term deposits. Cash balances in current account provide the highest degree of liquidity. </span><span lang="EN-IN" style="text-align: justify; font-size: 12pt; line-height: 150%; font-family: &quot;Times New Roman&quot;, serif;">This study examines how liquidity position of top five pharmaceutical companies based on sales. Statistical techniques like standard deviation, coefficient of variation, and Motaal&rsquo;s test have been employed in order to examine the liquidity position.</span></p> <p class="MsoNormal" style="margin-bottom:0in;margin-bottom:.0001pt;text-align:&#10;justify;line-height:150%;mso-layout-grid-align:none;text-autospace:none"><span lang="EN-IN" style="font-size:12.0pt;mso-bidi-font-size:8.0pt;line-height:150%;&#10;font-family:&quot;Times New Roman&quot;,serif;mso-bidi-font-family:&quot;Calii,Italic&quot;;&#10;mso-bidi-font-style:italic">&nbsp;< /> <o:p></o:p></span></p>