Imperatives of Cash Flow Management As A Tool For Business Success: An Empirical Survey of Selected Firms In Delta State Nigeria
This study was carried out to investigate the imperatives of cash flow management as a tool for business success: An empirical survey of selected firms in Delta State, Nigeria. A set of structured questionnaire was used as the instrument for data collection and administered on 60 respondents of the firms under study randomly selected using Yaro Yemane formula. Applying this formula, the sample size from a population of 70 is 60 respondents at 95% confidence level. Data analysis was made and the hypotheses formulated were tested using Kruska Wallis one-way analysis of variance by rank. The findings revealed that positive and significant relationship exists between effective cash flow management and business survival and also positive and significant relationship exists between cash flow management and managing cash collections and payments in the firms under study. It was concluded that effective cash flow management is necessary for the success of firms. The study, however, recommended cash planning, cash monitoring, cash budgeting, optimum cash level, investment of surplus cash and cash flow management and a host of others for effective cash management by firms.