Aged Receivables Average

Report Module Guide: Average Aged Receivables

Module Location

Accounts Receivable > Report > Average Aged Receivables

Module Objective

The Average Aged Receivables report module is used to calculate a key financial metric: the average collection period or Days Sales Outstanding (DSO). This report shows, on average, how many days it takes for the company to receive payment from customers after a sale is made. It is a key indicator for measuring the efficiency of the collections process.

1. Report Parameters

The main page of this module is a simple form containing several parameters to generate the report.

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Here is an explanation for each parameter:

  • Customer:

    • Select the customer scope for the report. The All option will calculate the average for all customers.

  • Date Payment:

    • Specify the From and To date range for payments that will be analyzed. The report will calculate the average age of receivables for payments received within this period (e.g., August 1, 2025, to August 31, 2025).

2. Steps to Generate the Report

Step 1: Set Report Parameters

Define the Date Payment range according to the period you wish to analyze.

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Step 2: Generate the Report

After the parameters are set, click one of the two buttons in the bottom-left section of the page:

  • Display Report: To see the report results directly on your screen. image.png

  • Export To MS Excel: To download the report data in an Excel file format.

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Tips & Important Notes

  • This report is a Key Performance Indicator (KPI) for the Finance and Accounts Receivable (AR) teams.

  • A lower number on this report indicates that the company is faster and more efficient in collecting receivables from customers, which has a positive impact on cash flow.

  • Use this report periodically (e.g., monthly or quarterly) to monitor trends in collection efficiency over time.

Revision #2
Created 2 August 2025 09:35:27 by Muhammad Ali Akbar
Updated 15 August 2025 13:25:57 by Muhammad Ali Akbar