Days in AP - Multi-Pedia

Days in Accounts Payable = Period Days / Accounts Payable Turnover.

This tells, on average, how long it takes to pay a bill. This is NOT a perfect analysis of the number of days in payables.

Measurement Average Acceptable Excellent
Days in Accounts Payable 28 25

If your number appears odd, check and make sure your Pass-Through EXPENSE is being included in the calculation.

AP Turnover The calculation is Total Operational Cost* (minus Pass-Through Revenue, Operational Salaries and Depreciation), divided by (Accounts Payable, Unvouchered AP, Accrued Contract IP Beds and Accrued Nursing Home R&B).

Measures how liquid AP is for the current year.

*Please note that Operational Costs do not include Extracurricular Programs, Interest or Development.


ADC Average Length of Stay Benefits Percent Caseload Expectations Computed Caseloads Crisis Care Percent Served Days Cash on Hand Days in AP Days in AR Debt to Equity Development to Return Ratio Development Signature Programs Direct Labor % of All Labor Direct Labor NPR Direct Labor PD Direct Patient Related Expenses NPR Direct Patient Related Expenses PD Facility Mix Percentage Facility Related Facility Team Patient Days Percent Indirect Costs PD Indirect Labor Marketing Incentive Median Length of Stay Mileage Rate Net Operational Income NPR% Net Operational Income PPD Net Revenue PD Operational Costs Organizational Net Income % of Hospice Homecare Net Revenue Revenue to Payroll Dollar Segment Indirect Percent Net Revenue Segment Net Income The Role of Financial Reserves Total Indirect Volunteer Level of Activity What is Net Patient Revenue What is The Model