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    Calculating the Average Collection Period

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    Trying to find the receivable turnover, the day's sales in receivables, and how long it took on average for credit customers to pay off their accounts.

    current accounts receivable balance $387,615
    credit sales for the year $2,945,600

    © BrainMass Inc. brainmass.com December 24, 2021, 7:05 pm ad1c9bdddf

    Solution Preview

    Receivable turnover = Credit sales/Accounts Receivable = ...

    Solution Summary

    The solution explains how to calculate the receivable turnover, days sales in receivable and the average collection period.