Question

What is the aging of A/R?

What is the aging of A/R?

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Answer #1

Aging of accounts receivables is a statement or report that lists all the outstanding or unpaid accounts receivables on the basis of time or period for which they have been outstanding. Aging determines which invoices are past due or overdue. All the past due or unpaid invoices are segregated by the number of days for which they have become past due. In aging report, separate columns are made for each date range like invoices due for 0-30 days, for 31-60 days, 61-90 days, above 90 days. In this way all the invoices are listed based on the number of days for which they have been outstanding.

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