Average annual current maturities (AACM)

Average annual current maturities (AACM),

Definition of Average annual current maturities (AACM):

  1. A measurement of the average remaining terms for long-term debt. If the average is rising, more debt is being taken on; a lower average shows reduced debt obligations. For example, Company A has commercial notes with 2, 3 and 8 years remaining, so the AACM is 4.3 years.

Meaning of Average annual current maturities (AACM) & Average annual current maturities (AACM) Definition