Receivables Turnover Calculator

Receivables Turnover = Revenue divided by Average Receivables (times per year). The calculator also derives Days Sales Outstanding as 365 divided by turnover, as a secondary figure.

Both ultimately use the same underlying relationship between revenue, receivables, and days - but this tool's primary output is the turnover ratio (times per year), with DSO shown as a derived secondary number. The dedicated Days Sales Outstanding calculator instead takes your receivables balance directly and reports only the DSO figure, without a turnover ratio.

A lower Days Sales Outstanding means you're collecting cash from customers faster on average - generally favorable for cash flow, and worth comparing against the credit terms you actually offer (e.g. Net 30).

Typically the average of your beginning and ending receivables balance for the period - enter your own average; the calculator doesn't compute it from separate beginning/ending balances.