Enhancing Cash Flow through Accounts Receivable Turnover and Inventory Management in the Tobacco Industry


  • Paramita Andini Universitas Nusa Putra




Accounts Receivable Turnover, Inventory Turnover, Liquidity, Cigarette Industry, Indonesian Stock Exchange (IDX), Financial Analysis, Current Ratio


This research investigates the impact of accounts receivable and inventory turnover on the liquidity of cigarette sub-sector companies listed on the Indonesian Stock Exchange (IDX) from 2017 to 2019. This study uses a quantitative approach and relies on secondary data from company financial statements, articles, and journal articles; this study focuses on three sample companies within the cigarette industry. Key financial metrics, including current ratio, accounts receivable, and inventory turnover, are analyzed to assess their influence on liquidity. The findings reveal that while accounts receivable turnover does not significantly affect liquidity, inventory turnover substantially influences liquidity levels in the cigarette industry companies listed on the IDX. These insights provide valuable guidance for stakeholders in assessing and optimizing companies’ liquidity within the cigarette sub-sector.


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How to Cite

Andini, P. (2023). Enhancing Cash Flow through Accounts Receivable Turnover and Inventory Management in the Tobacco Industry. Eastasouth Proceeding of Interdisciplinary Research, 1(01), 80–91. https://doi.org/10.58812/asir.v1i01.25