“…On the other hand, (Bhunia, Khan, & MuKhuti, 2011;Krishnakumar, 2010;Panigrahi, 2013) applied their research in Indian software, cement and steel sectors respectively using traditional indices for measuring liquidity and different measures for profitability such as return on Investment, gross Profit ratio, return on assets and earning per share, findings of these three studies found a negative association between liquidity and profitability. (Morgheim, 2015;Owolabi et al, 2011;Rehman, Khan, & Khokhar, 2015) conducted their research in America, Nigeria and Saudi Arabia respectively, they argued that there is a negative association between liquidity measured by traditional indices and profitability of firms.…”