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Daily Archives: October 14, 2021

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Days Sales Outstanding

How to calculate DSO (Days Sales Outstanding)

Collection Best PracticesBy troveworksOctober 14, 2021Leave a comment

DSO Meaning Let’s start by defining what DSO means. Days Sales Outstanding (DSO) is the average number of days taken by a firm to collect payment from their customers after the completion of a sale.  if I send an invoice of January 1st with a payment due date of January 31st and the customer ends…

AR Software

Beginner’s Guide to Accounts Receivable and AR Collection

Collection Best PracticesBy troveworksOctober 14, 2021Leave a comment

Most businesses sell to their customers on credit. The items or services ordered by customers are delivered before any payment is made. Accounting-wise, we use an account called “Accounts Receivable” to track that a payment is due by the customer. Technically for every customer, we track the invoices that are sent with a set of…

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