Creditors / Accounts Payable Turnover Ratio: Definition and Explanation: Credit turnover ratio is similar to the debtors turnover ratio. It compares creditors with the total credit purchases. It signifies the credit period enjoyed by the firm in paying creditors. Accounts payable include both sundry creditors
debtors turnover ratio
An accounting measure used to quantify a company’s efficiency in extending credit as well as collecting debts. The receivables turnover ratio is an activity ratio, measuring how efficiently a firm uses its assets.