accounts receivable turnover

(redirected from Collection Periods)

Accounts receivable turnover

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

Accounts Receivable Turnover

The average amount of time it takes for a business to collect on its accounts receivable. This is calculated by multiplying the amount in accounts receivable by the number of days in a given period and dividing into the total amount of credit sales. Accounts receivable turnover is a way to determine how a business' credit risk compares to that of its competitors.

accounts receivable turnover

The number of times in each accounting period that a firm converts credit sales into cash. A high turnover indicates effective granting of credit and collection from customers by the firm's management. Accounts receivable turnover is calculated by dividing the average amount of receivables into annual credit sales. Also called receivables turnover. See also activity ratio, collection period.
References in periodicals archive ?
While I'm a fan of recycling, and completely agree that landfill sites need to be reduced because they're are not only a blot on the landscape but a potential health hazard, I'm worried that extending bin collection periods could lead to all sorts of problems.
The results of the study show negative relations between receivable collection periods, inventory conversion period with firm's profitability.
The Company's commercial loss share agreements provide for five-year collection periods plus subsequent three-year loss share recovery periods, or a total of eight years from the dates of each acquisition.
e) Provide a secure on line data transfer system so that during the checking or data collection periods, schools can upload doc
The calculated values of the total signal change parameter for the studied reactions were decreasing almost linearly along with the prolongation of the data collection periods used for calculations (Fig.
Brian Strutton, national secretary for the GMB union, which represents Britain's binmen, says: "The increase is a direct consequence of councils imposing changes in collection periods.
Brian Strutton, national secretary for the GMB union which represents Britain's binmen says: "The increase is a direct consequence of councils imposing changes in collection periods.
Fecal samples were classified into five collection periods approximating trapping intervals at each locality.
I suggested local charities discussed a share out system with agreed areas and intelligent staggering of collection periods.
For each year where all six collection periods were available, we selected the annual maximum to overcome any effects of variation in timing of peak abundance.
During the first and second collection periods, the respective numbers and proportions of ciprofloxacin-resistant isolates were 29 (73%) and 26 (70%) in the isolates from Spain, and 13 (77%) and 26 (79%) in the isolates from Thailand.
The effects of exposure to Aroclor 1254 on dialysate DA concentrations were initially analyzed using a three-way ANOVA, which examined the effects of PCBs and duration of exposure (both between-subject variables), as well as the within-subject repeated measure of the four collection periods.

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