A debtor report, also known as an accounts receivable aging report or simply an AR aging report, is a financial document that provides a summary of outstanding invoices or accounts receivable balances owed to a company by its customers or clients. The report categorizes the outstanding balances based on the length of time they have been outstanding, typically in predefined time intervals such as 30 days, 60 days, 90 days, and over 90 days. Here are the key components typically found in a debtor report:

1. Customer Information: The debtor report typically includes details about each customer or client with outstanding balances, such as their name, account number, contact information, and the total amount owed.
2. Invoice Details: For each customer, the report lists the individual invoices or transactions that make up the outstanding balance. This includes the invoice number, invoice date, due date, and the amount of the invoice.
3. Aging Categories: The report categorizes the outstanding balances into different aging categories based on the number of days past due. Common aging categories include current (invoices not yet due), 30 days past due, 60 days past due, 90 days past due, and over 90 days past due.
4. Total Balances: The report provides totals for each aging category, as well as a grand total for all outstanding balances. This allows the company to see the total amount of accounts receivable outstanding and how it is distributed across different aging categories.
5. Analysis and Action: The debtor report helps the company analyze its accounts receivable aging and identify any potential issues or areas of concern. For example, a high concentration of overdue balances in the over 90 days past due category may indicate collection problems that need to be addressed. Based on the analysis, the company can take appropriate action to follow up with customers, send reminders, or escalate collection efforts as needed to collect outstanding balances.
6. Management and Decision-Making: The debtor report is a valuable tool for management and decision-making, providing insights into the company’s cash flow, credit management practices, and overall financial health. It helps management monitor the effectiveness of the company’s accounts receivable management processes and make informed decisions about credit policies, customer relationships, and collection strategies.

Overall, the debtor report is an essential financial tool that helps companies manage their accounts receivable and ensure timely collection of outstanding balances. It provides visibility into the company’s receivables aging and helps management identify and address issues to improve cash flow and financial performance.