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  Stock Market Basics 70: Accounts Receivable Turnover Explained — How Fast Does a Company Collect Cash From Sales? 3-Line Summary The accounts receivable turnover ratio shows how quickly a company collects money from customers after making sales. Revenue growth can look strong, but if accounts receivable grows too fast, operating cash flow may become weak. Investors should read this ratio together with sales growth, operating cash flow, allowance for doubtful accounts, inventory turnover, and industry characteristics. Recommended Keywords accounts receivable turnover, accounts receivable turnover ratio, receivables turnover explained, receivables turnover formula, average accounts receivable, credit sales, operating cash flow, allowance for doubtful accounts, financial statement analysis, balance sheet analysis, investing basics, stock market for beginners, working capital analysis Table of Contents What Is the Accounts Receivable Turnover Ratio? Accounts Receivable Turnover Form...