Receivables balance fractions

Receivables balance fractions

The percentage of a month's sales that remains uncollected (and part of accounts receivable) at the end of succeeding months.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Receivables Balance Fraction

The percentage of a company's total sales that consist of accounts receivable at the end of a period, especially a month. In other words, the receivables balance fraction represents the sales on which the company has not collected. The figure can be valuable in determining a company's cash flow and credit risk.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved