# Days’ Sales in Receivables Calculator

Instructions: You can use our Days' Sales in Receivables Calculator, by providing sales, the current and previous accounts receivables in the form below: Sales = Current Accounts Receivables = Previous Accounts Receivables =

## Days' Sales in Receivables Calculator

More about the Days' Sales in Receivables so you can better use the results provided by this solver. The Days' Sales in Receivables is the ratio between 365 and the Receivables turnover. This ratio is a measure of asset management, and it indicates the average amount of days it takes for to collect credit sales.

### How to Compute Days' Sales in Receivables

In order to compute the Days' Sales in Receivables, we first compute the Receivables turnover using the following formula:

$\text{Receivables Turnover} = \displaystyle \frac{Sales}{\text{Average Accounts Receivables}}$

Now, once we have the receivables turnover, we compute the Days' Sales in Receivables using:

$\text{Days' Sales in Receivables} = \displaystyle \frac{365}{\text{Receivables Turnover}}$

A related measure to days sales in receivables is the receivables turnover , so you may want to compute that as well. ### Other efficiency measures

Financial ratios play a critical role at the time of quickly assessing the financial situation of a company. The financial ratios have different categories to assess the situation in different areas.

So, in order use another typically used efficiency measure, you can use this Days’ Sales in Inventory Calculator