In this research, the relationship between working capital and profitability in listed firms of Tehran Stock Exchange was analyzed. In contrast to previous researches, quadratic nonlinear relationship between these two variables was investigated. The results showed that there is no nonlinear relationship between working capital and profitability. This shows no optimal level of capital flow in which the profitability is maximum. Furthermore, the results of research in automobile, chemical and non-metal minerals shows a nonlinear relationship between working capital and profitability.
Yahyazadehfar,M. , Shams,S. and Rezaie,H. (2014). On the relationship between working capital and profitability in listed firms of Tehran Stock Exchange. Accounting and Auditing Studies, 3(12), 18-29. doi: 10.22034/iaas.2014.103524
MLA
Yahyazadehfar,M. , , Shams,S. , and Rezaie,H. . "On the relationship between working capital and profitability in listed firms of Tehran Stock Exchange", Accounting and Auditing Studies, 3, 12, 2014, 18-29. doi: 10.22034/iaas.2014.103524
HARVARD
Yahyazadehfar M., Shams S., Rezaie H. (2014). 'On the relationship between working capital and profitability in listed firms of Tehran Stock Exchange', Accounting and Auditing Studies, 3(12), pp. 18-29. doi: 10.22034/iaas.2014.103524
CHICAGO
M. Yahyazadehfar, S. Shams and H. Rezaie, "On the relationship between working capital and profitability in listed firms of Tehran Stock Exchange," Accounting and Auditing Studies, 3 12 (2014): 18-29, doi: 10.22034/iaas.2014.103524
VANCOUVER
Yahyazadehfar M., Shams S., Rezaie H. On the relationship between working capital and profitability in listed firms of Tehran Stock Exchange. Accounting and Auditing Studies, 2014; 3(12): 18-29. doi: 10.22034/iaas.2014.103524
