The Down Towner has sales of $748,320 and average accounts payable of $128,209.The cost of goods sold is equivalent to 62 percent of sales.How long does it take the company to pay its suppliers?

Name: The Down Towner has sales of $748,320 and average accounts payable of $128,209.The cost of goods sold is equivalent to 62 percent of sales.How long does it take the company to pay its suppliers?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Payables period = 365 / [(0.62 × $748,320)/ $128,209] = 100.86 days

The Down Towner Has Sales of $748,320 and Average Accounts