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Days Sales Outstanding Calculator

Compute DSO from accounts receivable and credit sales for any period length with collection efficiency insights.

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Measuring collection speed with DSO

Days sales outstanding (DSO) estimates how long it takes to collect credit sales. Finance teams track it to spot slowing collections before cash flow tightens.

$$ \mathrm{DSO} = \frac{\mathrm{Accounts\ Receivable}}{\mathrm{Credit\ Sales} / \mathrm{Period\ Days}} $$

Explore related metrics with the Debt Ratios Calculator and Margin Calculator.

Frequently Asked Questions

Which sales figure should I use?

Use credit sales only (not cash sales) for the same accounting period as your receivable balance.

Can I use a quarterly period?

Yes. Enter total credit sales for the quarter and set period days to 90 (or the exact day count you report).

What is a healthy DSO?

It varies by industry. Compare your result to prior periods and to peers rather than a single universal target.