Please Help: Debtor turnover ratio
Posted Date : 24-Feb-2014 , 11:41:49 am | Posted By Mridula
how we can calculate dr turnover ratio on monthly basis
Category : Accounts | Answers : 3 | Comments : 1 | Hits : 344
Answers
Answer By: Krishna Chandra Santi
If your debtor collection or credit sales are not consistent throughout the year then monthly DTR will vary. Otherwise calculation can be done by taking proportionate values.
Answer By: AKHIL MAHESHWARI
Dear Mridula, debtors turnover ratio on monthly basis can be calculated by same formula with monthwise figures.
Formula is- DTR=net credit sale of the month/ average debtors of that month.
Formula is- DTR=net credit sale of the month/ average debtors of that month.
Answer By: AKHIL MAHESHWARI
Where average debtors of the month can be calculated as- (opening debtors+closing debtors)/2.


Comments
jimit
28-Feb-2014 , 05:45:23 pmcredit sales/Drs + BR (For that month)