What is A/R or Accounts Receivable Aging?
A periodic report that categorizes a company’s accounts receivable according to the length of time an invoice has been outstanding. Accounts Receivable Aging is a critical management tool as well as an analytic tool that helps determine the financial health of a company’s customers, and therefore, the health of their business. Credit memos and partially paid invoices will also be listed in the A/R Aging.
RELATED TERMS
- A/R or Accounts Receivable Aging
A periodic report that categorizes a company's accounts receivable according to the length of time an invoice has been outstanding. Accounts Receivable Aging is a critical management tool as well as an analytic tool that helps determine the financial health…
- Accounts Receivable Financing
Accounts Receivable Financing is when a company turns its A/R (accounts receivable) into ready cash versus waiting 30, 45 or even 90 days for their monies. Banks and Asset Based Lending (ABL) finance companies offer this short-term business funding based…
- Accounts Receivable Factoring
Also known as A/R factoring, factoring or general factoring. Factoring designed specifically for trucking companies is referred to as freight factoring.