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re: Cost of DSO
Posted on 3/2/11 at 6:29 pm to TheHiddenFlask
Posted on 3/2/11 at 6:29 pm to TheHiddenFlask
quote:
wouldn't it be: (Avg Sales $/Day)x (average days outstanding)x(wacc)?
Essentially - but originally I was just calculating the unit cost (per day of DSO)
2
Posted on 3/2/11 at 7:16 pm to Pheeze
Is your DSO being calculated using average AR over the two year contract period?
Posted on 3/2/11 at 7:26 pm to Pheeze
quote:
Essentially - but originally I was just calculating the unit cost (per day of DSO)
Okay, that was right then.
But if you want to do it for two years, then use my formula times 2
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