Financial Ratios
Days Payable Outstanding
Definition
What is Days Payable Outstanding?
Average number of days a company takes to pay suppliers.
Example in practice
How This Looks in Practice
The manufacturer pays suppliers after 50 days on average.
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Related Terms
Financial Ratios
Gross Margin
Gross profit expressed as a percentage of revenue.
Financial RatiosOperating Margin
Operating profit expressed as a percentage of revenue.
Financial RatiosEBITDA Margin
EBITDA expressed as a percentage of revenue.
Equity ValuationEarnings Per Share
Net income attributable to ordinary shareholders divided by weighted average ordinary shares.