How do you get average A/R?

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  • #188632
    Anonymous
    Inactive

    for days to collect A/R ratio, it is

    Avg A/R divided by avg sales per day. How do you calculate avg A/R, is it the sum of beginning and ending A/R divided by 2?

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  • #601550
    xdesix
    Participant

    Yes, Average A/R is (beginning + ending)/2

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    #601551
    Anonymous
    Inactive

    Thanks man.

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