Abstract

Abstract

The subject of liquidity and profitability and their interrelation are the most important thing that the Management of enterprises seek about.This study intended to identify the relationship between the liquidity and profitability and show how affect each other's. We also noted that the balance sheet informs users of company's financial ingredients. With out enough resources, accompany will have difficulty remaining solvent and earning Asatisfactory profit. In our- discussion of the liquidity as an aim of enterprises, we use a stepwise regression approach to test the significance of the relation between the two indicators, and how to depend upon this relation to discuss and analyze the financial reports. We finally find that there is A best relation between the liquidity and profitability, and these balancing between them help the company to obtain the best investment in the same time to maximization the profit.