Control Accounts

The sales ledger control account summarises the totals from the subsidiary accounts in the sales ledger

• True

• False

Where does the information in the VAT Control Account come from?

• Subsidiary Ledgers

• Books of Prime Entry

• Trial Balance

Which of the following situations would cause the balance on the PLCA to be higher than the purchases ledger

• A payment made to a supplier has been omitted from the PLCA

• A payment made to a supplier has been omitted from the purchases ledger

Which of the following situations would cause the balance on the sales ledger to be higher than the SLCA

• A sales invoice has been entered twice in the SLCA

• A sales invoice has been entered twice in the sales ledger

On which side of the SLCA do returned cheques go?

• Debit

• Credit

On which side of the bank do customer returned cheques go?

• Debit

• Credit

What is the double entry to record an irrecoverable debt?

• Debit: Irrecoverable debts

  Credit: SLCA

• Debit: SLCA

  Credit: Irrecoverable debts

What is the double entry to record a contra?

• Debit: SLCA

  Credit: PLCA

• Debit: PLCA

  Credit: SLCA

If the balance b/d on the VAT Control Account is on the debit side then what does this mean?

• The business owes money to HMRC

• The business is due a VAT refund from HMRC

Which of the following is not a purpose of control accounts?

• Detect fraud

• Conceal information

• Detect errors

• Provide instant information