Accounting · Odoo glossary
Days Sales Outstanding (DSO)
DSO estimates the average collection period for credit sales.
Definition
In general ERP practice
DSO estimates the average collection period for credit sales. A common formula is average trade receivables divided by credit sales for the period, multiplied by the number of days; population and period must be consistent.
In Odoo
Odoo provides Aged Receivable reporting and average debtor days in the Executive Summary. These are relevant to collection performance, but verify the report methodology rather than assuming it matches a chosen average-balance DSO formula.
Official Odoo documentation
The Odoo-specific explanation above is based on the documentation for Odoo 19. Features and workflows can differ in other versions.
Related glossary terms
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