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  2. Share Prices
  3. Finance Glossary
  4. Terms Beginning With D
  5. Debtors Conversion Period

Debtors Conversion Period

Definition of 'Debtors Conversion Period'

The average number of days to convert customer debts into cash. Equal to the average value of debtors divided by the average value of sales per day.

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Related Terms

Cash-Conversion CycleConversion RatioConversion PeriodConversion PremiumAverage Collection PeriodDebtorsFactoringSales Ledger AdministrationTrade DebtorsGuaranteed AnnuityRaw Materials Stock PeriodTurnoverConversion PriceConversion ValueStraight BondAccounting PeriodACPAnnuity CertainCancellation RulesGross Domestic Product

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