Accounts Receivable Collections Period
Along with inventory, Accounts Receivable is typically one of your largest company assets and has a significant effect on your cash flow. How does your balance compare to your peers? The Accounts Receivable balance is on your Balance Sheet. Annual Sales are reported on the Income Statement.
How does your pharmacy compare?
DSO and turnover tend to run longer in the Northeast due to the mix of Payers contracts; with turnover ratios in the low 20’s and DSO between 17-20 days.