The reference column of the accounts in the accounts payable subsidiary ledger after posting may show
A) only P references.
B) CP P or G references.
C) G P or S references.
D) only CP references.

Question

Quizplus · Accepted Answer

The accounts payable subsidiary ledger usually contains the account names, addresses, and outstanding balances of creditors. The reference column in this ledger is used to identify the source of the entry. After posting, the reference column may show P (Purchase order), CP (Cash Payment), or G (General). Therefore, the best choice is B, which indicates that the reference column might show CP, P, or G references.

The Reference Column of the Accounts in the Accounts Payable