Aside from money received financial reports, one of the next biggest concerns for management is how much is still owed. Furthermore, management often requests aging reports. These reports detail the money owed broken down by time increments (for example, 30 days). One such report is referred to as a 30-60-90 day aging report.
Aging reports are an important part of risk analysis. If the percentage of the amount owed past 90 days is excessive compared with 30 or 60 days, a risk has been identified. It could be that a financial crisis is looming in one or more areas where you do business. Another reason might be that your company's customers are unable (or perhaps unwilling!) to pay promptly. If further investigation reveals that customers are unwilling to pay promptly, this could indicate a problem with quality control, or a failure to deliver products in time (depending on the nature of your business).
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