three calculators + one AR program = opportunities to unlock cash
These calculators provide metrics to help you understand past AR performance and gain insight into how to drive future success.
Calculate each to diagnose the health of your receivables operations.
bad debt to sales
ratio
ratio
Your bad debt to sales ratio shows you the percentage of bad debt impacting your business. These are unpaid invoices that have been written off as a loss because the debt cannot be collected. Input your uncollectible and annual sales to calculate.
collection effectiveness
index (cei)
index (cei)
Your CEI measures your team’s ability to collect payments from customers, showing you how effective your collections are. Input your beginning receivables, ending total receivables, and ending current receivables to calculate.
days sales outstanding
(dso)
(dso)
Your DSO number shows you how many days it takes you to collect payments after a sale is made. Input your accounts receivable and annual revenue to calculate how efficient your collections are.
