Control Accounts Flashcards
What are the two types of control accounts?
Sales ledger control account
Purchases ledger control account
The sales ledger control account is what figure in the SOFP
Trade receivables figure under current assets section
The sales ledger control account is a debit or credit figure?
Debit figure in the trial balance and general ledger, because it is asset
Credit sales from the sales journal
sales ledger control account (DR)
dishonoured cheques from receivables
sales ledger control account (DR)
interest charged to receivables
sales ledger control account (DR)
Money received from trade receivables
sales ledger control account (CR)
Discounts allowed
sales ledger control account (CR)
Irrecoverable debts written off
sales ledger control account (CR)
Contra against payables ledger
sales ledger control account (CR)
The purchases ledger control account is what figure in the SOFP?
trade payables figure under current liabilities section
The purchases ledger control account is a debit or credit figure?
Credit figure in the trial balance and general ledger as it is a liability.
Money paid to trade payables
Purchases Ledger Control Account (DR)
Discounts received
Purchases Ledger Control Account (DR)
purchases returns/returns out
Purchases Ledger Control Account (DR)
