This assessment task requires you to review and evaluate financial management processes in relation to debtor management and to ensure Grow Management’s financial due diligence. 1. Write a debtor...

Report on debtor management for Grow Management Consultant
    Client
    Name
    120+ Days
    90 Days
    60 Days
    30 Days
    10 Days
    Current
    Total
    Client A
    
    
    
    $4550
    
    
    
    $4550
    Client B
    
    
    
    
    $10500
    $2500
    
    $12500
    Client C
    
    $3500
    
    
    
    
    
    $3500
    Client D
    
    
    $5500
    
    
    
    
    $5500
    Total
    
    $3500
    $5500
    $4550
    
    $2500
    
    $26550
The above chart illustrates an assumed figure of the Grow Management Consultant aged debtors report. The report will be used to identify the various issues that the company faces with respect to its debtors.
The summary of aged debtor report:
Based on the above chart and the overall analysis of the aged debtor report of Grow Management Consultancy it can be stated that the company’s usual payment terms for the debtors are 10 days from invoice date. But, for the company’s debtors barring Client B are not paying the debt on time.
Therefore, there is a necessity of a good debtor management policy which is essential for an effective flow of positive cash in the business. Without a sound debtor management policy the company will be unable to...