Wednesday April 26, 2017 07:41

Days Payable Outstanding (DPO)

What is DPO  (Days Payable Outstanding) ? Days Payable Outstanding (DPO) is a company’s average payable period. This metric indicates how long it takes a company to pay trade creditors. The DPO formula is:   Accounts Payable dollars /(Cost of Sales dollars/number of days).  The Accounts Payable can be found on the Balance Sheet and the Cost […]

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