The collection period is the time that it takes for a business to convert balances from accounts receivable back into cash flow. This can apply to an individual transaction or to the business's ...

The Average Collection Period (ACP) is a financial ratio that calculates the average number of days it takes for a company to collect the money owed to it by its customers (its accounts receivable).

QUESTION: I maintain a substantial number of accounts receivable balances. Sometimes my cash flow is stretched because of this problem. How can I accelerate my accounts receivable collections? Cash is ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, ...

Increasing accounts payable can boost a company's cash flow by delaying payments. Higher accounts receivable can reduce cash flow since it involves waiting for customer payments. Review the statement ...

When a business expands, it can be faced with fluctuations in sales, new production and selling costs. The business may need to establish new credit policies to increase sales, which may increase ...