aging

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Related to Aging of Accounts Receivable: accounts receivable aging report

Aging

The process of investigating a company's accounts receivable according to how long individual invoices have been outstanding. Analysts can use aging to identify bad debt and/or problems with the company's credit policy.

aging

A technique for evaluating the composition of a firm's accounts receivables to determine whether irregularities exist. It is carried out by grouping a firm's accounts receivables according to the length of time accounts have been outstanding. For example, a financial analyst may use aging to determine whether a firm carries many overdue debtors that may never pay their bills.
References in periodicals archive ?
This has resulted, in many cases, in an aging of accounts receivable for many companies as many of their customers have slowed their payments.
In order to continually understand and update the value of its collateral, the banker may ask for monthly or quarterly inventory lists and/or aging of accounts receivable.
Date arithmetic--counting the number of days since a specific date, so that determining elapsed time between dates is simple addition and subtraction (for example, aging of accounts receivable is easily done if the current date can be subtracted from the invoice date).