Accounts Receivable Turnover Calculator
Calculate how many times per year receivables are collected.
Accounts Receivable Turnover Calculator
8.0 times/year
How This Works
This measures how many times per year a balance (inventory or receivables) is fully cycled through — higher turnover generally means more efficient use of that asset.
Formula
Turnover = Net Credit Sales ÷ Average Accounts Receivable
Example
$500,000 COGS against $80,000 average inventory is a turnover of 6.25 times per year, or about 58 days of inventory on hand.
Frequently Asked Questions
What is the result with these numbers?
8.0 times/year.