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![]() ![]() The accounts receivables turnover ratio shows how quickly a business can collect its debts or the credit it gives customers. ![]() For example, if a company sells to a client, it could extend the terms by 30 or 60 days, giving the client 30 to 60 days to pay for the product. How to Figure Out Accounts Receivable Turnover Ratio?Īccounts receivable are like short-term, interest-free loans that companies give their customers. ![]()
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