How it works
Average trade receivables are divided by credit sales for the same period and scaled by the period day count. This form solves for period credit sales (same currency); enter the known quantities in Average trade receivables (same currency), Period length, Collection days.
Inputs and units
| Input | Example value | What to enter |
|---|---|---|
| Average trade receivables (same currency) | 100,000 | Formula symbol: ar. Enter a numeric value. Must be greater than zero. |
| Period length | 360 d | Formula symbol: period. Required unit: d. Use a whole number. Must be greater than zero. Allowed range: 1–366. |
| Collection days | 30 d | Formula symbol: days. Required unit: d. Must be greater than zero. Allowed range: 0.001–3,650. |
Worked example
Show example inputs and results
This example is generated by the same calculation engine using the starting values in the form. Your own inputs produce your own result.
- Average trade receivables (same currency)
- 100,000
- Period length
- 360 d
- Collection days
- 30 d
Complete example results
- Period credit sales (same currency)
- 1,200,000
Reading the result
The result solves for period credit sales (same currency) from the entered quantities. Check the result unit and the formula conditions before using it.
Questions and answers
Can I use the example values for my own calculation?
The example values illustrate the calculation. Replace every input with your own information, especially dates, rates and the selected operation.
When can I use the period credit sales (same currency) result?
Keep credit-sale scope and day count consistent. This ratio does not determine the due date or delinquency of individual invoices. All monetary inputs must use the same currency; currency conversion, tax and automatic fees are excluded.
Why are some results rounded?
Results display up to 8 decimal places. Calculations use the unrounded values; very small values use scientific notation. JavaScript floating-point arithmetic can introduce tiny rounding differences.
Are my inputs sent to a server?
The calculator processes inputs in your browser. Its code does not send your values to a server.
Method sources: openstax.org