A Study on Measuring Liquidity of Selected Indian Automobile Companies

The study attempts to measure the liquidity status of selected automobile companies in India. For the study, data were collected from secondary sources such are journals, articles, annual reports, and consolidated financial statements. In this study, Liquid ratio and quick ratio are calculated for the period of five years 2014-15 to 2018-19 to Measure the liquidity position of companies. Statistical tools like Mean, Standard Deviation, and Coefficient of Variances were used to analyze the data and also used Bar-charts to better understand the comparison of liquidity ratios. This study concludes that Ashok Leyland Limited, Bajaj Auto Limited, and Eicher Motors; these automobile companies have a weak liquidity position while on the other hand Hero Motocorp Limited has a good liquidity position and the Force Motors Limited has a very much Strong liquidity position.