Based on the below figures, what are the payables days?
$\begin{array}{lr}
& £ 000 \
\text { Inventory } & 1,800 \
\text { Trade payables } & 3,780 \
\text { Trade receivables } & 4,050 \
\text { sales } & 49,275 \
\text { Cost of sales } & 32,850
\end{array}$

Question

Based on the below figures, what are the payables days?
$\begin{array}{lr} 
& £ 000 \
\text { Inventory } & 1,800 \
\text { Trade payables } & 3,780 \
\text { Trade receivables } & 4,050 \
\text { sales } & 49,275 \
\text { Cost of sales } & 32,850
\end{array}$

Quizplus · Accepted Answer

Payables days = (Trade payables / Cost of sales) * 365 = (3,780 / 32,850) * 365 ≈ 42 days.

Based on the Below Figures, What Are the Payables Days