Which report is used to identify outstanding accounts based on how long they have been due?

Which report is used to identify outstanding accounts based on how long they have been due?

• A. Aging report
• B. Trial balance
• C. Cash receipts
• D. Accounts ledger

Answer: (A)

An aging report organizes outstanding balances by how long they have been past due, typically in buckets like current, 0–30 days, 31–60 days, 61–90 days, and over 90 days. This layout makes it easy to see which accounts require attention and to prioritize follow-up or collection efforts based on the length of delinquency. The other reports don’t provide that aging view: a trial balance shows all balances at a point in time without indicating how long they’re overdue; cash receipts track payments received rather than outstanding dates; and an accounts ledger is a general record of transactions for accounts, not specifically sorted by days past due.

An aging report organizes outstanding balances by how long they have been past due, typically in buckets like current, 0–30 days, 31–60 days, 61–90 days, and over 90 days. This layout makes it easy to see which accounts require attention and to prioritize follow-up or collection efforts based on the length of delinquency. The other reports don’t provide that aging view: a trial balance shows all balances at a point in time without indicating how long they’re overdue; cash receipts track payments received rather than outstanding dates; and an accounts ledger is a general record of transactions for accounts, not specifically sorted by days past due.