How to Calculate Receivables Turnover Ratio?
Receivables Turnover Ratio calculator uses Receivables Turnover Ratio = Net Sales/Average Accounts Receivables to calculate the Receivables Turnover Ratio, The Receivables Turnover Ratio formula is defined as an efficiency ratio that measures how efficiently a company is collecting revenue and by extension, how efficiently it is using its assets. Receivables Turnover Ratio is denoted by RTR symbol.
How to calculate Receivables Turnover Ratio using this online calculator? To use this online calculator for Receivables Turnover Ratio, enter Net Sales (NS) & Average Accounts Receivables (AAR) and hit the calculate button. Here is how the Receivables Turnover Ratio calculation can be explained with given input values -> 7.2 = 90000/12500.