Receivables Turnover Calculator
Calculate receivables turnover ratio and days sales outstanding to measure collection efficiency.
Sales Data
$800,000
$10,000$5,000,000
$1,000,000
$10,000$5,000,000
Accounts Receivable
$60,000
$0$1,000,000
$80,000
$0$1,000,000
Receivables Turnover Ratio
11.43x
Receivables collected 11.4 times per year
Days Sales Outstanding
32 days
Average Receivables
$70,000
Credit Sales %
80.0%
Of total revenue
Daily Credit Sales
$2,192
Collection Analysis
Turnover Rate11.43x per year
Average Collection Period32 days
AR to Revenue7.0%
DSO Benchmarks
0-30 daysExcellent
31-45 daysGood
46-60 daysAcceptable
60+ daysNeeds Improvement
Assessment: Efficient collection process
Receivables Turnover Formulas
Receivables Turnover
Net Credit Sales / Average AR
Average AR = (Beginning + Ending) / 2
Days Sales Outstanding
365 / Receivables Turnover
Also: Average AR / (Credit Sales / 365)