Abstract
This study sought to determine the impact of liquidity ratios (Current ratio and Quick ratio) and cash flow sources (operating operations, investment activities, and financing activities) on profitability with its indicators (ROA and ROE) in industrial firms listed on the Amman Stock Exchange (ASE). In order to accomplish the purpose of the study, a descriptive-analytical methodology was utilized where the researcher acquired data for the study’s variables by studying the annual financial reports of (32) industrial companies during the study’s financial period (2019–2020).There was a statistically significant effect at the significance level (0.05) for liquidity ratios (Current ratio and Quick ratio) and cash flow sources from (operating activities, investing activities, and financing activities) in predicting profitability with its indicators (ROA And ROE) among ASE-listed industrial companies. The study recommended that industrial companies listed on the Amman Stock Exchange improve their quick assets while avoiding an excessive increase in quick liquidity ratios not to disrupt working capital and achieve optimum profitability.
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Al-Shattarat, H.K., Haddad, H., Abdelateef Mahmoud, S., Syed, A.M. (2023). The Impact of Liquidity Ratios and Cash Flow Sources in Profitability in Industrial Companies Listed in the Amman Stock Exchange. In: Alareeni, B.A.M., Elgedawy, I. (eds) Artificial Intelligence (AI) and Finance. Studies in Systems, Decision and Control, vol 488. Springer, Cham. https://doi.org/10.1007/978-3-031-39158-3_68
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DOI: https://doi.org/10.1007/978-3-031-39158-3_68
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