Sales to Receivables Ratio Solution

STEP 0: Pre-Calculation Summary
Formula Used
Sales to Receivables Ratio = Net Sales/Net Receivables
SR = NS/NR
This formula uses 3 Variables
Variables Used
Sales to Receivables Ratio - The Sales to Receivables Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit.
Net Sales - Net Sales are the number of sales generated by a company after the deduction of returns, allowances for damaged or missing goods, and any discounts allowed.
Net Receivables - Net Receivables is the total money owed to a company by its customers minus the money owed that will likely never be paid.
STEP 1: Convert Input(s) to Base Unit
Net Sales: 90000 --> No Conversion Required
Net Receivables: 785645 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
SR = NS/NR --> 90000/785645
Evaluating ... ...
SR = 0.114555556262689
STEP 3: Convert Result to Output's Unit
0.114555556262689 --> No Conversion Required
FINAL ANSWER
0.114555556262689 0.114556 <-- Sales to Receivables Ratio
(Calculation completed in 00.004 seconds)

Credits

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Bhilai Institute of Technology (BIT), Raipur
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Sales to Receivables Ratio Formula

Sales to Receivables Ratio = Net Sales/Net Receivables
SR = NS/NR

How to Calculate Sales to Receivables Ratio?

Sales to Receivables Ratio calculator uses Sales to Receivables Ratio = Net Sales/Net Receivables to calculate the Sales to Receivables Ratio, The Sales to Receivables Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit. Sales to Receivables Ratio is denoted by SR symbol.

How to calculate Sales to Receivables Ratio using this online calculator? To use this online calculator for Sales to Receivables Ratio, enter Net Sales (NS) & Net Receivables (NR) and hit the calculate button. Here is how the Sales to Receivables Ratio calculation can be explained with given input values -> 0.114556 = 90000/785645.

FAQ

What is Sales to Receivables Ratio?
The Sales to Receivables Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit and is represented as SR = NS/NR or Sales to Receivables Ratio = Net Sales/Net Receivables. Net Sales are the number of sales generated by a company after the deduction of returns, allowances for damaged or missing goods, and any discounts allowed & Net Receivables is the total money owed to a company by its customers minus the money owed that will likely never be paid.
How to calculate Sales to Receivables Ratio?
The Sales to Receivables Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit is calculated using Sales to Receivables Ratio = Net Sales/Net Receivables. To calculate Sales to Receivables Ratio, you need Net Sales (NS) & Net Receivables (NR). With our tool, you need to enter the respective value for Net Sales & Net Receivables and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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