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Accounts Receivable Aging

Accounts receivable aging is a reporting process that categorizes unpaid invoices and credit memos according to how long they remain outstanding. They are typically sorted into 30-day ranges (0-30 days, 31-60 days, 61-90 days), and this report is how companies calculate their days sales outstanding (DSO) average. 

Accounts receivable aging analysis allows businesses to identify opportunities to automate and optimize their O2C process, evaluate the health and reliability of their customers and make strategic decisions that impact nearly every aspect of their business.

Related terms

Order-to-Cash (OTC or O2C)
Order-to-Cash (OTC), also sometimes referred to as Order-to-Cash Cycle (O2C), is a crucial business process encompassing all the activities involved in processing a customer order and collecting payment. It essentially tracks the journey a sale takes, from the initial moment a customer expresses interest to when the company receives the final payment.
Profit and loss (P&L) statement
A P&L, also known as a profit and loss statement or income statement, is a financial document that summarizes a company's revenue and expenses over a specific period, typically a month, quarter, or year. It shows how effectively a business is converting its sales into profits.
Revenue Recognition
Revenue recognition is an accounting principle that governs when and how a company recognizes revenue from its sales transactions.
Stripe NetSuite Integration
Yes, you can integrate Stripe with NetSuite via an app like ZonePayments, which allows you to collect customer payments and reconcile deposits directly within NetSuite while maintaining control and compliance. 
Total Available Liquidity
Total available liquidity includes 100% of the cash and cash equivalents a business has on hand. It may also include a company’s borrowing capacity.
Working Capital Ratio
Working capital ratio (WCR) helps businesses assess their ability to pay current liabilities. More specifically, this liquidity metric determines how many times a company’s current assets can offset these liabilities.