To calculate the days of working capital ratio, you have to divide only trade receivables by the average daily sales.

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Quizplus · Accepted Answer

The days of working capital ratio typically involves more than just trade receivables and average daily sales. It often considers current assets minus current liabilities to determine the working capital, then divides by average daily sales or operating costs to calculate the days of working capital.

To Calculate the Days of Working Capital Ratio, You Have