Days in Accounts Payable is a financial accounting formula used to measure the efficiency of a company’s accounts payable process. This metric helps track the time it takes for the company to pay its bills and liabilities after they have been incurred. The formula itself is simple – divide the total AP balance (the amount owed to suppliers and other creditors) by the total payments made during a certain period. This helps determine how quickly the business is able to pay their liabilities. As businesses strive for efficiency, having a clear understanding of their payment times can help inform decisions around processes such as invoice processing, payment solutions, and more.