Days Payable Outstanding Calculator
Calculate DPO to measure how many days a company takes to pay its suppliers.
How to Use the Days Payable Outstanding Calculator
- Enter total accounts payable.
- Enter annual cost of goods sold.
- Click Calculate.
- Review DPO and payable turnover.
Cas d'utilisation
- •Cash flow management
- •Supplier payment analysis
- •Working capital optimization
Formule
DPO = (Accounts Payable / COGS) × 365
Questions fréquemment posées
Is a high DPO good or bad?
A higher DPO means you hold cash longer, which improves liquidity, but too high may strain supplier relationships.
How does DPO affect the CCC?
Higher DPO reduces the cash conversion cycle, as it means slower payments to suppliers.
Is this calculator free?
Yes, all calculators are completely free.