What is the accounts payable turnover?
A)a measure of liquidity
B)a measure of the number of times a year a company is able to pay off its accounts payable
C)purchases on account from suppliers divided by average accounts payable
D)all of the above

Question

Quizplus · Accepted Answer

Accounts payable turnover is a measure of liquidity, as it shows how quickly a company is able to pay off its accounts payable. It is also a measure of the number of times a year a company is able to pay off its accounts payable.

What Is the Accounts Payable Turnover