Accounts Payable Turnover is a ratio that represents the average number of times a firm pays its creditors over a given period. To calculate it, we divide a company’s purchases by the average account payables for a given period.
Some other related topics you might be interested to explore are Number of Days of Payables, Operating Cycle, and Net Operating Cycle.
This is an open-access Excel template in XLSX format that will be useful for anyone who wants to work as an Accountant, Financial Analyst, Corporate Finance Practitioner, or Finance Manager.
You can now download the Excel template for free.
Accounts Payable Turnover is among the topics included in the Corporate Finance module of the CFA Level 1 Curriculum.
