2022
DOI: 10.17576/ajag-2022-18-12
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Do Internal Auditors Improve Firms’ Working Capital Management?

Abstract: This paper investigates the relationship between internal audit and the working capital management (WCM) of Malaysian public-listed firms. Good WCM is vital as it drives profitability. Anecdotal evidence suggests that the inventory conversion period is the most challenging part of WCM for Malaysian firms. In 2017, around RM71 billion in cash was locked up in working capital and thus suggesting that Malaysian public-listed firms are struggling with WCM. Based on this issue, we are therefore motivated to examine… Show more

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