# Receivables turnover

> Receivables turnover is a liquidity and working-capital metric, calculated as Credit sales ÷ Average AR. Times per period; Days in the period ÷ turnover is DSO on average AR.

Source: https://lopifi.com/glossary/receivables-turnover
Part of: Lopifi — US GAAP books on autopilot, reviewed by a CPA (https://lopifi.com)

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**What is receivables turnover?** Receivables turnover is a liquidity and working-capital metric, calculated as Credit sales ÷ Average AR.

## Formula

`Credit sales ÷ Average AR`

## Note

Times per period; Days in the period ÷ turnover is DSO on average AR

- **Category:** Liquidity & working capital
- **Specified in:** [Metric definitions](https://lopifi.com/md/docs/domain/10-metrics)
- **Related:** credit, period