Explain what subsidiary ledgers are and give examples of three ...

[sammy]

Explain what subsidiary ledgers are and give examples of three types of subsidiary ledgers that a business mightuse.

Question 2

An owner of a business withdraws cash from his business. Which of the following accounts would need to be reduced to record this transaction?
 
  a. accounts receivable
  b. owner's equity
  c. expenses
  d. accounts payable

[Hikerman221]

Answer to Question 1

A subsidiary ledger groups a large number of accounts with a commoncharacteristi c together. Each subsidiary ledger is summarized in the generalledger by a controlling account. Most commonly, companies use accountsreceivable and accounts payable subsidiary ledgers to detail individual customer orvendor accounts. Businesses often use subsidiary ledgers to keep track ofequipment purchased, its location, and other equipment data.

Answer to Question 2

b

[sammy]

Correct answers!

[Hikerman221]

Great! Please up vote