Aniefiok Udoh Akpan, Francis Idiege Ahakiri, Theresa Mbony Ebaye


The study focused on solvency controlling and return on asset of industrial organizations in Nigeria. The purpose was to assess how credit management influence return on asset of the organizations that were considered. Data were collected from published financial reports of these organizations. Data collected were analyzed using multiple regression model. Results of the analysis revealed that solvency controlling did not affect return on asset significantly; and insolvents’ turnover has insignificant though positive effect on return on asset of the studied organizations. Based on the findings, the major recommendation was that of industrial organizations in Nigeria should institute active and proficient credit policy that can take into consideration credit worthiness of clienteles which would in turn influence their return on asset.


JEL: L10; L16; G10


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solvency controlling, return on asset, industrial organizations, financial management, profitability

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