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Accounts receivable turnover calculator
See how quickly customers pay. Enter net credit sales for the year and your receivables at the start and end of it.
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How it works
How it works
Turnover is net credit sales divided by average receivables, where average receivables is (beginning + ending) divided by 2. Average days to collect is 365 divided by turnover.
FAQ
About this calculator
What is a good turnover ratio?
Higher means you collect faster. A good figure depends on your industry and the terms you offer, so compare it with your payment terms, such as net 30.
What counts as credit sales?
Sales made on account, where the customer pays later. Leave out cash sales.
How is it different from days sales outstanding?
They measure the same thing from two directions. Days sales outstanding is shown in days, and turnover is shown as times per year.
Is anything saved?
No. The math runs in your browser and nothing you enter is sent to us.
Is this tax or financial advice?
No. It is a calculator for general information. Check the numbers against your own records, and ask an accountant before you act on them.
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