THE IMPACT OF CASH MANAGEMENT PRACTICES ON LIQUIDITY IN PRIVATE HIGHER EDUCATIONAL INSTITUTIONS (HEIS) IN DISTRICT IV OF LAGUNA

Abstract

In this study, the focus was on analyzing the impact of cash management practices on the liquidity of private higher educational institutions (HEIs) located in District IV of Laguna. The study collected data by surveying ten private HEIs in the district. The survey asked questions related to the cash management practices employed by the institutions and their liquidity levels. The researcher used descriptive statistics and regression analysis to analyze the data. The study found a significant positive relationship between cash management practices and liquidity in private HEIs. This meant that better cash management practices could lead to improved liquidity levels in these institutions. Specifically, the study found that effective management of cash inflows, short-term investments, and accounts receivable positively impacted the liquidity of private HEIs. Finally, the study concluded by emphasizing the importance of prioritizing cash management practices as part of the financial management strategy of private HEIs in District IV of Laguna. The recommendation was based on the study’s finding that better cash management practices led to improved liquidity and financial sustainability for these institutions. Private HEIs should focus on implementing effective cash management practices to enhance their financial performance and long-term sustainability.