Question
Jan Villaroel
Topic: Accounting Posted 2 months ago
account receivable turnover is calculated by

account receivable turnover is calculated by


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Koala Tutor
Oct 4, 2024
Koala Ai Support

dividing total net sales by the average accounts receivable during the same period. This ratio measures how effectively a company is extending credit and collecting debts from its customers. A high turnover ratio indicates that the company's collection of accounts receivable is efficient.

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