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Dear All,Good Morning!Let me know about your experiences about Quickbooks aging ?is that really great or somehow have some discrepancies. Kindlyguide me Please...
It is good to come handy if implemented all rules and setting correctly.
Accurate Data Entry Required after implementation.
In accounting the term aging is often associated with a company's accounts receivable Accounts receivable arise when a company provides goods or services on credit For example, a company may allow its customers to pay for goods or services days after they are delivered. If customers do not pay as agreed, the company could experience a cash problem..
The general ledger account Accounts Receivable usually contains only summary amounts and is referred to as a control account. The details for the control account—each credit sale for every customer—is found in the subsidiary ledger for Accounts Receivable. The total amount of all the details in the subsidiary ledger must be equal to the total amount reported in the control account. The detailed information in the accounts receivable subsidiary ledger is used to prepare a report known as the aging of accounts receivable. This report directs management's attention to accounts that are slow to pay. It is also useful in determining the balance amount needed in the account Allowance for Doubtful Accounts. The aging of accounts receivable report is typically generated by sorting unpaid sales invoices in the subsidiary ledger—first by customer and then by the date of the sales invoices. If a company sells merchandise (or provides services) and allows customers to pay 30 days later, this report will indicate how much of its accounts receivable is past due. It also reports how far past due the accounts are. With the click of a mouse, most accounting software will provide the aging of accounts receivable report. For example, Gem Merchandise Co.'s software looks at each of its customer's accounts receivable activity and compares the date of each unpaid sales invoice to the date of the report. If we assume the report is dated August 31 and that Gem's credit terms are net 30 days, any unpaid sales invoices with an August date will be classified as current. Any unpaid invoices with a date in July are classified as 1 - 30 days past due. Any unpaid invoices with a date of June are classified as 31 - 60 days past due, and so on.
Thanks for your kind answers
but i dont have any experoence in Quickbooks,Thanks for invitation
