🧾 DPO Calculator – Days Payable Outstanding
Measure how many days, on average, a company takes to pay its suppliers and vendors.
What is Days Payable Outstanding?
Days Payable Outstanding (DPO) measures the average number of days a company takes to pay its suppliers and vendors. A higher DPO means the company holds onto cash longer, which can help working capital but may strain supplier relationships if too high.
The formula
DPO = (Average Accounts Payable / Cost of Goods Sold) × Number of Days in the Period. The calculator also shows the payables turnover ratio, the inverse relationship measuring how many times payables are paid off within the period.
This calculator is for general financial education and analysis practice, not investment or credit advice. DPO is most meaningful when compared against a company’s own history or industry peers.