Days of Payables Outstanding (DPO) Calculator
This calculator helps you determine the Days of Payables Outstanding (DPO) to effectively manage your working capital. It is designed for finance professionals seeking to optimize payment cycles.
DPO Calculator
Results
Days of Payables Outstanding (DPO):
0 days
Data Source and Methodology
All calculations are based on standard accounting principles. Accurate data is essential for precise calculations.
The Formula Explained
\\( DPO = \\frac{\\text{Average Accounts Payable}}{\\text{Cost of Goods Sold}} \\times 365 \\)
Glossary of Terms
- Average Accounts Payable: The average amount owed to suppliers during a period.
- Cost of Goods Sold (COGS): The direct costs attributable to the production of goods sold by a company.
Frequently Asked Questions (FAQ)
What is Days of Payables Outstanding (DPO)?
DPO is a financial metric that indicates the average number of days a company takes to pay its suppliers.
Why is DPO important?
DPO is crucial for assessing the efficiency of a company's cash flow management and its financial health.
Formula (LaTeX) + variables + units
This section shows the formulas used by the calculator engine, plus variable definitions and units.
Formula (extracted LaTeX)
\[','\]
','
Formula (extracted text)
\\( DPO = \\frac{\\text{Average Accounts Payable}}{\\text{Cost of Goods Sold}} \\times 365 \\)
Variables and units
- No variables provided in audit spec.
Sources (authoritative):
- NIST — Weights and measures — nist.gov · Accessed 2026-01-19
https://www.nist.gov/pml/weights-and-measures - FTC — Consumer advice — consumer.ftc.gov · Accessed 2026-01-19
https://consumer.ftc.gov/
Changelog
Version: 0.1.0-draft
Last code update: 2026-01-19
Last code update: 2026-01-19
0.1.0-draft · 2026-01-19
- Initial audit spec draft generated from HTML extraction (review required).
- Verify formulas match the calculator engine and convert any text-only formulas to LaTeX.
- Confirm sources are authoritative and relevant to the calculator methodology.