The accounts receivable turnover ratio is computed by dividing net income by average accounts receivable.

Name: The accounts receivable turnover ratio is computed by dividing net income by average accounts receivable.
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The accounts receivable turnover ratio is computed by dividing net credit sales by average accounts receivable. It measures the number of times a company is able to collect its average accounts receivable balance during a given period of time.

The Accounts Receivable Turnover Ratio Is Computed by Dividing Net