Accounting for IGCSE & O level - Accounting Procedures (Section 9 - No. 46)
In a control account, the Sales Ledger Control Account contains a debit of $10,000, the balance on the individual trade receivable accounts in the sales ledger for the same month. If they do not agree there errors must be present in their accounts. The individual differences should be recorded:
in the sales ledger control account
in the individual trade receivable accounts
in both the sales ledger control account and the individual trade receivable accounts
the differences must be present in their accounts
Explanation
The sales ledger control account provides a total trade receivables account which can be used to check the arithmetical accuracy of sales.
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