Working capital optimization through payment terms
To understand how effective your company is managing accounts payable, and thus get a clear picture of your cash flow, look to your average payable period. This accounting measure indicates how long you use credit before paying it off. The longer the average payable period, the better you’re maximizing your https://kelleysbookkeeping.com/how-much-is-too-much-to-pay-for-tax-returns/ credit and working each …
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