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1. Background
In a developing country like Bangladesh, working capital management has not been revisited very extensively. The working capital is considered as the life blood of a firm .And cash conversion cycle is the primary measure of working capital efficiency. Cash conversion cycle basically shows how long it takes a firm to convert resource inputs into cash flows. This consists of three parts, receivables collection period, payables deferral period and inventory turnover period. 2. Purpose of the study

* To find the relationship between working capital efficiency and the profitability of manufacturing firms in Bangladesh. * To optimize accounts receivable management so that the firms can maximize profit. * To focus on the impact on cash due to management of working capital components. * To study the extent of dependency of profitability ratios over the working capital components of firms.

3. Literature review
* In 2006, Greek researchers Lazaridis and Tryfonidis found a relationship between working capital management efficiency and profitability. * In 1996, Cote and Latham argued that management of receivables, inventory and accounts payable have tremendous impact on cash flows, which in turn affect the profitability of firms * In 1986, Scherr claimed that companies can strengthen strong cash flow levels, improve profitability, budgeting and forecasting process, predictability and manageability of results, heighten risk if they implement the best practices in working capital * In 2009 Siddiquee and Khan, has observed that, firms which are better at managing working capital are found to be able to make counter cyclical moves to build competitive advantage. And they are also better at generating fund internally and also face lesser trouble while seeking external sources of financing. 4. Methodology

* This study is a descriptive analysis.
* The total populations out of 6 industries 4 industries are selected...
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