The accounts payable turnover ratio is a measure of short-term liquidity used to quantify the speed at which a company pays its suppliers.
Accounts payable turnover shows how many times a company repays its accounts payable during a period.
Ideally, the company wants to generate enough income to pay off its accounts payable quickly, but not so quickly that the company misses out on opportunities because they could use that money to invest in other endeavors.
Accrual accounting is a method of accounting in which revenue or expenses are recorded at the time of the transaction, and not at the time the payment is received or made.
Performance Based Management (ABM) is a means of analyzing a company’s profitability by looking at every aspect of its business to determine its strengths and weaknesses.
Adjusting journal entries are used to record transactions that have occurred but have not yet been properly accounted for in accordance with the accrual basis.
The annual report is a corporate document distributed to shareholders, which sets out the financial position and activities of the company for the previous year.
An asset is a resource with economic value that is owned or managed by an individual, corporation or country with the expectation that it will provide benefits in the future.