General
Finance
Formulas
Receivable turnover = annual sales / average receivable
Days of sales outstanding = 365 / receivable turnover
Inventory turnover = cost of goods sold / average inventory
Days of inventory on hand = 365 / inventory turnover
Payables turnover = purchases / average trade payables
Number of days of payables = 365 / payables turnover ratio
Total asset turnover =…
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