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International Journal of
Finance and Commerce
ARCHIVES
VOL. 6, ISSUE 4 (2024)
Impact of ratio analysis on effective decision making: Case study of some selected limited companies in Cameroon
Authors
Dadem Kemgou Edouard Guilaire, Ongono Amogo Tobie Nicaise, Mvogo Jean, Adelphe Achile Saa Lapa
Abstract
The Main Research Objective is to determine the effects of Ratio Analysis on Effective decision making in some selected limited companies in the North West, West and Littoral regions of Cameroon. In order to attain this main objective, four (4) specific objectives were derived and the data was collected using a structured questionnaire from 120 private and public limited companies. The result shows that there is a significant influence of Ratio analysis towards decision making in limited companies operating in these three (3) Regions of Cameroon. As can be seen in the specific objectives, the first objective suggests profitability Ratio will have a positive effect on effective decision making negatively in organizations, the second objective reveals a significant positive relationship between Liquidity ratio and effective Decision Making, the third objective reveals a positive effect efficiency ratio towards effective decision making in limited companies and the fort objective on Investment ratio indicated a significant positive effects on effective decision making in Limited companies. Based on these results, the study recommended that; private and public limited companies operating in Cameroon, should take ratio analysis into considerations as the main contributor to effective decisions making, since it the main guides for the growth of the business. It is therefore, important for companies to always take this four ratio analysis tools into consideration and also provide appropriate training to their workers how to use the various ratio techniques and tools.
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Pages:21-30
How to cite this article:
Dadem Kemgou Edouard Guilaire, Ongono Amogo Tobie Nicaise, Mvogo Jean, Adelphe Achile Saa Lapa "Impact of ratio analysis on effective decision making: Case study of some selected limited companies in Cameroon". International Journal of Finance and Commerce, Vol 6, Issue 4, 2024, Pages 21-30
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