PLAIN-LANGUAGE DEFINITION
Money your business owes to suppliers and vendors for goods or services already received but not yet paid for. Extending payment terms on payables can improve short-term cash flow.
What to check
Check the statement date, classification, and whether the balance agrees with your accounting records.
Where this connects to Impresa
You may encounter this concept when reviewing Financial Health. Start with the underlying inputs and check the applicable reporting period before interpreting the result.
Read the Financial Health guideA NOTE ON INTERPRETATION
NEXT DEFINITIONInventory ↗Definitions here explain the concept. Accounting treatments, formulas, and industry comparisons may vary. Use your own records and qualified advice for material decisions.