Days Sales Outstanding Calculator
Calculate DSO to measure how quickly a company collects payments from customers after a sale.
How to Use the Days Sales Outstanding Calculator
- Enter total accounts receivable.
- Enter annual net credit sales.
- Click Calculate.
- Review DSO and receivable turnover.
Casi d'Uso
- •Accounts receivable management
- •Cash flow forecasting
- •Credit policy evaluation
Formula
DSO = (Accounts Receivable / Net Credit Sales) × 365
Domande Frequenti
What does a high DSO indicate?
A high DSO means customers take longer to pay, which can create cash flow problems.
What is a good DSO?
Generally, DSO should be close to your payment terms. If terms are Net 30, DSO around 30-40 days is normal.
Is this calculator free?
Yes, all calculators are completely free.