Accounting Information Systems Student Name Institutional Affiliation Accounting Information Systems An accounts receivable aging report is a report that conceptually lists all the companys unused credit memos and the unpaid customer invoices by a date range. It acts as an important aspect that is utilized through the collection team for the determination of which invoices can be stated for overdue payment. This report will ideally make it easier for auditors to acquire accurate estimates covering debt expenses. Having only the required copies that can be delivered in papers or electronically in all manners as the reports are strictly restricted to employees in the organization. There should be production of many copies as necessary for the employees to be updated. The security features to be implemented on the report need to allow only employees with access to the organizations database to access them. Reference Romney M. B. & Steinbart P. J. (2012). Accounting information systems. Boston: Pearson.
The Howard Leasing Company is a privately held medium sized business that purchases schools busses and leases to the school districts, churches, charitable organizations, and other business. To better serve its customers and more important to protect its investment in the busses, Howard operates a large maintenance facility to maintain and repair leased vehicles.
Howards annual sales for last year were $37 million with a net income of $2.9 million. Hayward employs approximately 150 people.
You were recently hired by Howard and you are eager to prove your worth to the company. Your supervisor just called you into her office and asked you to prepare an account receivable aging report as of the end of the year for use in the upcoming audit of the companys financial statements.
What is an accounts receivable aging report?
Why is an accounts receivable aging report needed for an audit?
What is an account receivable aging report used for in normal company operations
What data will you need to prepare the report?
Where will you collect the data you need to prepare the report?
How will you collect the necessary data for the report?
What will the report look like (i.e., how will you organize the data collected to create the information your supervisor needs for the audit)? Prepare an accounts receivable aging report in excel or another spreadsheet package.
How will you distribute the report? How many copies you will make? Who should receive the copies? What security features will you implement?