Days' Payable Measures the Relative Size of Accounts Payable

question 162

True/False

Days' payable measures the relative size of accounts payable.

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Definitions:

Share Split

A business move where a company splits its current shares into additional ones to increase the shares' marketability.

Share Price

The current market price of a single share of a company's stock.

Reverse Stock Split

A corporate action in which a company decreases the number of its outstanding shares to increase the share price without changing the company's market capitalization.

Market Value

The ongoing cost at which a service or asset is being exchanged in the market.