Days' sales outstanding

(redirected from Collection Ratios)

Days' sales outstanding

Average collection period.

Days' Sales Outstanding

In accounting, a company's average collection period. Usually calculated monthly, it indexes the relationship between outstanding accounts receivable and total sales over a given period and is a common tool in measuring liquidity. Tracking trends in days' sales outstanding can also indicate the level of credit risk a company is willing to extend at different points of time. It is also called the collection ratio.

Mentioned in ?

References in periodicals archive ?

Guatemala has one of the lowest tax revenue collection ratios in Latin America, at 10.

President Jimmy Morales forced to make a U-turn on fiscal reform proposal for Guatemala

iv) commercialisation and capacity building for the participating utility companies (including the increase in collection ratios, preparation and publication of IFRS accounts and training on procurement).

Ust-Kamenogorsk Water

This is not only for calculations of collection ratios, but to determine your "seasonality"--which I'll discuss in greater detail next month.

You need a budget

From this table, Cote d'Ivoire and Senegal may be identified as countries among the surveyed francophone African countries that have demonstrated the most progress in achieving their property tax revenue potential; the remaining francophone countries appear to be equally worse-off in terms of their coverage, assessment, tax, and collection ratios.

As the property tax system is currently practiced in these countries, the ensuing coverage, assessment, tax, and collection ratios have in general been low.

Low collection ratios in these countries usually stem from the following factors:

Property tax administration in francophone Africa: structures, challenges, and progress

This effort was intensive, but it resulted in good collection ratios, with only slightly more than 200 locations per month ultimately being disconnected.

The City of Salina, Kansas, switches to an interactive voice response system: Salina officials find that interactive voice response systems provide enhanced customer service and increased security and internal control while improving the working environment and reducing costs

Some of the tools that physicians and their staff can use to oversee this area include tracking the days in accounts receivable, to find out how long it takes to collect, and calculating gross and net collection ratios, which show how much is being collected.

Collection ratios can be helpful in determining the share of the accounts receivable that has actually been collected.

Tips for tracking the health of the bottom line

Health here means profits just as you predicted them, short and long term balance, cash flow under control, financial relationships in line with growth, consistent yearly improvement, strong cash flow/ collection ratios.

Give your business an exam

Shortly after publication, I was contacted by several credit managers who were working on improving their collection ratios, and wanted first-hand information about my experiences.

Fifteen Minutes of Fame

It will contribute to continued improvement in receivables management leading to improvement in collection ratios.

TNT Express Worldwide goes live in Holland and Hong Kong with Computron Software as part of financial reengineering program; Ground-breaking solution for global accounting management