Your accounts payable turnover ratio tells you — and your vendors — how healthy your business is. Comparing this ratio year over year — or comparing a fiscal quarter to the same quarter of ...

How Accounts Payable Turnover Ratio Works. Accounts payable (AP) accounts for the amount of a company's short-term debt to suppliers incurred from purchasing goods or services in credit.

Accounts payable is an account within the general ledger representing a company's obligation to pay ... AP Turnover Ratio . The payables turnover ratio can reveal how efficient a company is at ...

Accounts payable turnover ratio is a financial metric that indicates how quickly a company pays its suppliers and creditors. To calculate this ratio, divide the total purchases by the average ...

Accounts payable to purchase the inventory is shown as a liability on the balance sheet. Together, the assets and liabilities show the business's financial standing on a day-to-day basis.

Accounts payable appear on a company's balance sheet under the current liabilities section. You can determine how well a company is positioned by analyzing the accounts payable turnover ratio .

Having a high turnover ratio means that you are doing well getting payment on accounts. This means that you have good cash flow. If your accounts payable has less restrictive terms, you have a net ...

JD's Rising Accounts Payable Turnover Days. A fellow Seeking Alpha contributor raised his concerns regarding JD.com’s (NASDAQ:JD) rising accounts payables turnover days.This is an area I pay ...

Accounts Payable Details. As a short-term liability, corporations will typically pay off accounts payable (AP) in less than 12 months. If companies fail to pay the debt in time, they may fall into ...