Browsing by Author "John, Toro Gimba"

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    CASH CONVERSION CYCLE AND VALUE OF LISTED AGRICULTURAL FIRMS IN NIGERIA
    (Department of Banking and Finance, Faculty Of Administration Nasarawa State University, Keffi., 2021-03-18) John, Toro Gimba; Udenwa, Theresa A; Nwala, Maureen Nneka
    Cash conversion cycle is a vital component of the firm that requires proper planning and management which involves decisions about different aspects of cash investment, maintenance of certain level of inventories and managing of account receivable and payable. The study examines the effect of cash conversion cycle on firm value of listed agricultural firms in Nigeria. Payable payment period, receivable collection period and inventory turnover were used to proxy cash conversion cycle; while firm value is proxied with Tobin's Q. The study concentrated on the period from 2010 to 2019. Secondary data was used in other to collect the secondary source of data from the individual financial reports of the listed agricultural sectors. The sample adopted four (4) listed agricultural firms out the five (5) in Nigeria due to the unavailability of data. The study employed regression model to estimate the relationship between cash conversion cycle and firm value. The result shows that payable period has a significant effect on the firm value. The study recommends that the management should seek to delay longer period of account payable. Therefore, the Agricultural companies in Nigeria should try and maintain an adequate period of settling their suppliers in order to avoid negative effect on the company's value. Also, a mechanism should be put in place that will enable debtors settle their accounts on time so as to have a balanced receivable collection period. Finally, the agricultural firms should also seek knowledge on the use of stock optimization techniques so as to be able to determine right quantities of stocks to hold.
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    INFLATION RATE AND MARKET CAPITALIZATION: A CRITICAL ANALYSIS OF PERFORMANCE IN THE NIGERIAN STOCK MARKET
    (Department of Accounting Nasarawa State University Keffi., 2018-06-20) John, Dollay Adigizey; John, Toro Gimba; Veronica, Wamu Adigizey
    The contribution of the capital market to the socio-economic growth of Nigeria is invariably threatened by the level of inflation that impounds on capitalization. This study thus set to evaluate the effect of inflation rate on market capitalization in the Nigerian stock market. In line with the objective of this study, secondary data were obtained from the CBN Statistical Bulletin and Security exchange commission (SEC) and then Nigeria covering the period of1999 to 2017. Market Capitalization is used as the dependent variable while inflation rate is as the independent proxy with interest rate as the control variable. The study adopts ordinary least square (OLS) method of analysis using Eviews statistical package. It is found that inflation rate has positive and significant relationship with market capitalization. The work concludes with fisher's hypothesis that equity stock could be used as hedging against inflation. The study recommends that the Central Bank of Nigeria (CBN) should formulate and use policy instruments that will maintain inflation at a reasonably level so that it will not erode the real value of stock gains, and hence performance in the long run