Simply divide the number of days in a year by the receivables turnover ratio. For example, a company with an inventory-receivables turnover ratio of 10 would have an average collection period of ...

Prolonged, high days sales outstanding (DSO) — the average number of days to collect on a claim — stalls the cash conversion cycle and contributes to already low profit margins plaguing most ...

Days sales outstanding (DSO) is a measure of the average number of days that it takes for a company to collect payment after a sale has been made.

Days receivables outstanding, or DRO, in the accounting lexicon, measures the average number of days it takes a business to collect on its accounts receivable, which is the money customers owe for ...

Although payment timetables vary on a case-by-case basis, accounts receivables are typically due in 30, 45, or 60 days, following a given transaction. Key Takeaways ...

Investors should determine the average number of days the company takes to collect its accounts receivable. ... Dividing revenue by average receivables gives a receivables turnover ratio of 76.

Tesorio develops tools to automate the process of collecting payments from business-to-business suppliers, raising $17 million in a venture financing round.