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Uncollectable Receivables Ratio Days Receivables Outstanding 51130 3 {{{keywords}}} {{{description}}}
AE113
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Latest revision as of 14:48, 10 June 2017
Uncollectable Receivables Ratio measures the financial impact of uncollectable invoices on overall receivables.
Calculation
| Uncollectable Receivables Ratio | ||||
| = |
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where:
- Uncollectable Receivables = Total amounts written off as uncollectible, in the reported period
- Receipts = Total collections in the reported period
Unit of measure: %
Importance
Accounts Receivable includes amounts that may later be reported as uncollectable and require corrections to revenue.
Community Importance Rating: Hierarchy
| ID | Name | Level | x |
|---|---|---|---|
| AE11 | Days Receivables Outstanding | 2 | AE11 |
| AE113 | Uncollectable Receivables Ratio | 3 | AE113 |