O-LevelAccountingAnalysis and interpretation7707/13 · Oct/Nov 2024 · Q321 Mark
The trade payables turnover of a business is 36 days. What do these 36 days represent?
Athe average number of days before the business purchases further goods on credit
Bthe average number of days taken by the business to pay its credit suppliers
Cthe average number of days the business is allowed by credit suppliers to pay for goods
Dthe average number of days the business takes to sell goods purchased on credit
✓ Correct answer
B: the average number of days taken by the business to pay its credit suppliers
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