• Nandita Mohapatra
• Prof. D.P. Misra

ABSTRACT: Liquidity plays an important role in the successful functioning of a business firm. The critical part in managing working capital is maintaining adequate liquidity in the business to ensure smooth business operation and to meet its short term obligations as and when they become due. The objective of the present paper is to examine the liquidity position of the NALCO Ltd., a central public sector undertaking. The data has been collected from the annual reports of the company and the study period covers from 2009-10 to 2019-20. Five liquidity ratios namely current ratio, quick ratio, cash ratio, absolute liquidity ratio and working capital ratio are calculated to ascertain the liquidity strength of the company. The result reveals that too much liquidity is maintained by the NALCO. However, it adversely impacts the profitability position of the company. Hence, there is a need to curtail the excessive liquidity so that it can contribute more to the profitability of the NALCO Ltd.

Current Asset, Current Liability, Liquidity, NALCO, Working Capital.

"Liquidity Management: A Study on NALCO Ltd.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.8, Issue 9, page no.a37-a43, September-2021, Available :http://www.jetir.org/papers/JETIR2109007.pdf

"Liquidity Management: A Study on NALCO Ltd.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.8, Issue 9, page no. ppa37-a43, September-2021, Available at : http://www.jetir.org/papers/JETIR2109007.pdf