How to use F1740 - Kreditorenlaufzeit

SAP Transaction Code - Details

• Transaction Code: F1740

  Description: Kreditorenlaufzeit

  Release: S/4HANA only

• • Program:

    Screen: 0

    Authorization Object:

  • Development Package:

    Package Description:

    Parent Package:

  • Module/Component:

    Description:

Smart SAP Assistant

• SAP Tcode: F1740 - Kreditorenlaufzeit

  
  Overview:
  SAP transaction code F1740, Days Payable Outstanding, is used to calculate the average number of days that a company takes to pay its suppliers. This calculation is based on the company’s accounts payable and the number of days in the period. 
  
  Functionality: 
  The Days Payable Outstanding (DPO) calculation is an important metric for assessing a company’s financial health. It provides insight into how quickly a company pays its suppliers and how well it manages its cash flow. A high DPO indicates that the company is taking longer to pay its suppliers, which can lead to cash flow problems. 
  
  Step-by-step How to Use: 
  To use SAP transaction code F1740, Days Payable Outstanding, follow these steps 
  1. Enter the transaction code in the command field. 
  2. Enter the date range for which you want to calculate DPO. 
  3. Select the accounts payable accounts you want to include in the calculation. 
  4. Click “Execute” to generate the report. 
  5. The report will show the average number of days it takes for a company to pay its suppliers. 
  
  Other Recommendations: 
  It is important to note that DPO is only one metric for assessing a company’s financial health. Other metrics such as Accounts Receivable Turnover and Cash Conversion Cycle should also be considered when evaluating a company’s financial performance. Additionally, it is important to compare DPO with industry averages in order to get an accurate picture of a company’s performance.