A trader provided the following information. | | $\$$ | | :--- | ---: | | cash purchases for the year | 146000 | | credit purchases for the year | 108000 | | trade payables at the year end | 14000 | What was the trader's trade payables turnover?

Explanation

Trade payables turnover is calculated by dividing the total purchases by the trade payables. The total purchases for the year is $146000 + 108000 = 254000. The trade payables turnover is 254000 / 14000 = 18.143, which is approximately 13 days.

A trader provided the following information. | | $\$$ | | :--- | ---: | | cash purchases for the year | 146000 | | credit purchases for the year | 108000 | | trade payables at the year end | 14000 | What was the trader's trade payables turnover?

Explanation

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