Common use of Eligible Accounts Receivable Clause in Contracts

Eligible Accounts Receivable. Seller shall be entitled to a credit ---------------------------- in an amount equal to (i) ninety percent (90%) of the face amount of all Eligible Accounts Receivable that are thirty (30) or fewer days past due as of the Closing Date, (ii) sixty percent (60%) of the face amount of all Eligible Accounts Receivable that are more than thirty (30) but fewer than sixty (60) days past due as of the Closing Date, and (iii) zero percent (0%) of the full amount of Eligible Accounts Receivable that are sixty (60) or more days past due as of the Closing Date, it being understood and agreed that all amounts owed by customers shall be discounted by the percentage discount applicable to the most aged Eligible Account Receivable attributable to such customer. "Eligible Accounts Receivable" shall mean accounts receivable resulting from Seller's provision of cable television service prior to the Closing Date to the Systems' subscribers. For purposes of making "past due" calculations under this paragraph, the monthly billing statements of Seller shall be deemed to be due and payable on the first day of the period during which the service for which such billing statements relate is provided.