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.
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Accounts Payable Turnover is among the topics included in the Corporate Finance module of the CFA Level 1 Curriculum.