A/P Turnover Ratio
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A/P Turnover Ratio
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Calculate Average A/P Balance
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Beginning A/P Balance$25,000.00Enter the A/P balance as of January 1 or the beginning of the period.
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Ending A/P Balance$50,000.00Enter the A/P balance as of December 31 or the end of the period.
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Total$75,000.00
This figure will automatically calculate, do not enter anything in this field.
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Divided by 22This will always be 2, do not change this field.
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Average A/P Balance for the period$37,500.00
This figure will automatically calculate, do not enter anything in this field.
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Calculate A/P Turnover Ratio
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Total Supplier Purchases$100,000Enter total purchases for the period, generally one year.
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Divided by Average A/P Balance for the period
$37,500
This field will automatically take your Avg A/P Balance from step 1 (above).
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A/P Turnover Ratio2.67
This figure will automatically calculate, do not enter anything in this field.
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