Accounts receivable turnover ratio

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Accounts receivable turnover ratio (or, simply, accounts receivable turnover) is a ratio that indicates the number of times accounts receivable are converted to cash within a given period and the effectiveness of a company's credit policy.


Definitions

According to College Accounting: A Practical Approach by Slater (13th edition)‎,

Accounts receivable turnover ratio. A ratio that indicates the number of times accounts receivable are converted to cash within a given period and the effectiveness of a company's credit policy.

Related concepts

Related coursework