Determinants Influencing Liquidity of Listed Food Processing Firms on Vietnam Stock Exchange

Abstract

This research is conducted for evaluating the impact levels of determinants on liquidity of listed food processing firms on Vietnam Stock Exchange. Data were collected from audited financial statements of 31 firms for the period from 2012 to 2016. 

This study employs Ordinary Least Squares (OLS) and other tests for measuring impact levels of factors impacting on liquidity. The results show that firm size, return on assets, return on sales, firm duration and asset structure have positive relationships with liquidity. In contrast, return on equity, and debt ratio have negative impacts on liquidity.