The trade receivables turnover ratio reflects how many times average trade receivables were recorded and collected during the period.

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The trade receivables turnover ratio measures how efficiently a company is managing its accounts receivable by calculating how many times it collects its average accounts receivable balance during a given period, such as a year. A higher turnover ratio indicates that the company is collecting its receivables more quickly, which is typically seen as a positive sign of financial health.

The Trade Receivables Turnover Ratio Reflects How Many Times Average