The formula to calculate the Sales to Receivables Ratio (SR) is:
\[ \text{SR} = \frac{\text{NS}}{\text{NR}} \]
Where:
The Sales to Receivables Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit.
Let's assume the following values:
Using the formula:
\[ \text{SR} = \frac{90000}{785645} \]
Evaluating:
\[ \text{SR} = 0.11 \]
The Sales to Receivables Ratio is 0.11.
| Net Sales | Net Receivables | Sales to Receivables Ratio |
|---|---|---|
| 85000 | 750000 | 0.11 |
| 85000 | 755000 | 0.11 |
| 85000 | 760000 | 0.11 |
| 85000 | 765000 | 0.11 |
| 85000 | 770000 | 0.11 |
| 85000 | 775000 | 0.11 |
| 85000 | 780000 | 0.11 |
| 85000 | 785000 | 0.11 |
| 85000 | 790000 | 0.11 |
| 85000 | 795000 | 0.11 |
| 85000 | 800000 | 0.11 |
| 90000 | 750000 | 0.12 |
| 90000 | 755000 | 0.12 |
| 90000 | 760000 | 0.12 |
| 90000 | 765000 | 0.12 |
| 90000 | 770000 | 0.12 |
| 90000 | 775000 | 0.12 |
| 90000 | 780000 | 0.12 |
| 90000 | 785000 | 0.11 |
| 90000 | 790000 | 0.11 |
| 90000 | 795000 | 0.11 |
| 90000 | 800000 | 0.11 |
| 95000 | 750000 | 0.13 |
| 95000 | 755000 | 0.13 |
| 95000 | 760000 | 0.13 |
| 95000 | 765000 | 0.12 |
| 95000 | 770000 | 0.12 |
| 95000 | 775000 | 0.12 |
| 95000 | 780000 | 0.12 |
| 95000 | 785000 | 0.12 |
| 95000 | 790000 | 0.12 |
| 95000 | 795000 | 0.12 |
| 95000 | 800000 | 0.12 |