Effect of Current Asset Management on The Financial Performance of Manufacturing Firm Southeast Nigeria

The study examined the Effect of Current Asset Management on the Financial Performance of Manufacturing Firm Southeast Nigeria. The liquid assets variables studied comprises Account Receivables (AR), and Short-Term Investment (STI) while the Operational Performance variable studied is Turnover (TNV). Secondary data were sourced from the annual reports of the firms under review. Two Hypotheses were estimated with the use of Random Effect Panel Multi Regression Analyses. The findings of the study show that: Short Term Investment (STI) have positive and significant relationship on the Turnover (TNV) of the industrial goods sectors in Nigeria and have a moderate and very weak positive on consumer goods sector while Account Receivables (AR) has a weak positive relationship on turnover of the consumer goods sector has a moderate positive relationship on the performance of industrial and consumer goods sector in Nigeria. This implies that organization without adequate liquid asset is bound to suffer set back (difficult to meet short term obligation). Based on the findings of the study, the researcher concludes that a well-managed, account receivables will lead to improvement of operational performance in Industrial goods sectors, while in the consumer goods sector among the explanatory variables can predict operational performance effectively. The researcher recommend that management should put more attention on their current assets management in order to maintain an adequate performance in the sectors.