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She says they put metrics in place to focus on DSOs, days payables, inventories.
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Quite reasonably, financial wizards like to subtract all kinds of things from enterprise value, like receivables that are offset by payables.
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Entropic has no short-term or long-term debt on its books, but its accrued liabilities and payables have increased from 2009 to 2010.
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Most small businesses have a timing mismatch between receivables and payables--and you can't pay for things today with cash you expect to receive tomorrow.
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Cash gets boosted when payables go up or receivables go down.
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Also include an aging schedule of receivables and payables.
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One solution to the inefficient payment process with manufacturers, specifically around their trade payables, is the creation of formalized trade payable financing programs, and these programs are starting to become more popular.
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Like invoicing, payables and general ledger.
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