Accounts Payable Aging
Verb. [uh–kount-s•pey-uh-buh l•eyj-eeng]
- Accrued Dictionary definition: The process of a bill growing older beginning at its adolescence (30 days) to adulthood (60 days) to its elderly years (90+). Bills that are past their prime are sent to nursing homes where they are cared for by accountants who bring them flowers, listen to their stories and make sure they know they’re remembered, even if life gets in the way of visits from loved ones.
// “This bill’s over the hill on the accounts payable aging report. It’s time to pay it.”
- Textbook definition: Accounts Payable Aging is a report that includes all of the expenses that a business has incurred but has not yet paid. This account is recorded as a liability on the Balance Sheet as it is a debt owed by the company. As the bills pass their due dates, they age.
// “In accounts payable aging, an overdue bill appears older than a new bill.”
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