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The behavior-modification approach:
Accounts Payable Turnover Ratio
A financial efficiency ratio that measures how many times a company pays off its suppliers during a specific period.
Interest Expense
The cost incurred by an entity for borrowed funds, shown as an expense on the income statement.
Interest Payable
A liability account representing the amount of interest expense that has been incurred but not yet paid by the company.
Current Liability
A liability that is expected to be paid off within a year's time or within the normal operating cycle of a business.
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