The Accounts Payable Aging Report is used to what?

The Accounts Payable Aging Report primarily serves the purpose of listing unpaid invoices based on their age. This report categorizes outstanding invoices into different time frames, typically such as current, 30 days past due, 60 days past due, and so on. By doing this, organizations can more effectively manage their cash flow and prioritize payments. It helps accounts payable teams identify which vendors are owed money and how long these amounts have remained unpaid, enabling timely payment decisions and negotiations with suppliers.

This focus on aged invoices is crucial for maintaining good vendor relationships and avoiding late fees or disruptions in service due to overdue payments. The report also allows for increased visibility into cash flow management by highlighting liabilities that need to be addressed based on their aging status.