Accounts receivable turnover

Accounts receivable turnover are the ratio of net credit sales to average accounts receivable, which is a measure of how
quickly customers pay their bills.

Accounts receivable turnover are an activity ratio that tells the number of times per year that the average accounts receivable is collected; computed by dividing net sales by average net accounts receivable.

Share it:  Cite

More from this Section

  • Multibuyer policy
    Multibuyer policy is a policy which is administered by the Ex-Im bank that provides credit ...
  • Operating Exposure
    Operating Exposure, also called economic exposure, competitive exposure, or strategic ...
  • Audit Risk
    Audit Risk is the risk of giving an incorrect audit opinion. ...
  • Double indemnity rider
    Double indemnity rider is a benefit that can be added to a life insurance policy doubling ...
  • Asset pricing model
    Asset pricing model is a model for determining the required or expected rate of ...