Control of  Receivables
1)Â Â Â Â Â Days Sales Outstanding (DSO)
DSO= Debtors + Bills Receivable    days
Average Daily Sales:
2)Â Â Â Â Â Ageing Schedule
Debtors are classified into different age brackets.
3)Â Â Â Â Â ABC Analysis
Classification of Debtors into A Category, B Category and C Category
A Category—Small no. of  debtors but of large values—Highest Control
B Category— Moderate no. of  debtors and of moderate values—
–Â Moderate Control
C Category— Large  no. of  debtors but  of small values
– Less Control
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