Format of Control Account

What does the control account do?

• reflects all the balance of subsidiary account.

• correct the errors in ledger account.

• prepare balance sheets and other financial statements.

• issued to correct errors or changes made to an existing invoice or order.

which side discount received in purchase control account belongs to?

• credit(CR)

• debit(DR)

does sales control account record sales return?

• yes

• no

how are bad debts recorded in sales control account?

• debit(DR)

• credit(CR)

where do set off goes?

• purchase ledger control account

• sales ledger control account

• both

• neither

format of purchase ledger control account

• credit purchase, discount allowed, interest charged & return outwards

• purchase, discount received, interest allowed & return outwards

• credit purchase,discount receive, interest charged & return outwards

• purchase, discount receive, interest allowed & return inwards

where is credit purchases shown in a control account?

• credit side of the purchase ledger control account

• debit side of the purchase leger control account

• credit side of the sales ledger control account

• debit side of the sales ledger control account

Which statement is true about a purchase ledger control account?

• discount allowed appears on the debit side

• discount allowed appears on the credit side

• discount received appears on the debit side

• discount received appears on the credit side

Which item appears on the credit side of the purchase ledger control account?

• purchase returns

• set- off

• refunds from trade payables

• discount allowed

Where do dishounoured cheque goes?

• debit side of the purchase ledger control account

• Credit side of the sales ledger control account

• debit side of the sales ledger control account

• Credit side of the purchase ledger control account