Accounts receivable and inventories in the profitability and free cash flow in the ceramic companies of Cúcuta

Abstract

This article is the result of a research project whose purpose was to analyze the liquidity of companies Cúcuta ceramic; given the importance of the ceramic sector in Norte de Santander in terms of gross domestic product and employment generation effect was analyzed accounts receivable and inventories on profitability and free cash flow of companies Cúcuta Ceramics. From the perspective of value creation, the figures of the financial statements were reviewed to determine the performance of accounts receivable, inventories and how are you influenced profitability and free cash flow of companies ceramic Cucuta. A descriptive and correlational research was conducted. a purposive sample the company Ceramics Italy S.A., the volume of sales, exports, generating direct and indirect employment and for being the only major company listed ceramic products North Santander department was taken. They were characterized receivables, inventories, profitability and free cash flow and by applying relations of the correlation coefficient dependency ratio of cash management of the company were determined, profitability and free cash flow. The study allowed to know, from the standpoint of value, generation or destruction of corporate value ceramic Cucuta by analyzing the cash flow of these in the period studied, and the relationship and interdependence between accounts receivable and inventories and financial variables.