The accounts receivable collection period refers to the average number of days it takes for a company to collect payments from its customers after extending credit. It is calculated by dividing the average accounts receivable by the total credit sales and multiplying the result by the number of days in the period. This metric provides insight into a company’s efficiency in managing its accounts receivable and cash flow.
Reimagine Your Order-To-Cash with AI
Touchless Receivables. Frictionless Payments.
Recommended Digital Assets for You
Suggested Resources
Add AI to Your Order-to-Cash Process

AR Automation for JD EDwards

AR Automation for SAP

AR Automation for Oracle

AR Automation for NetSuite

AR Automation for PeopleSoft
