The purpose of the account payable subsidiary ledgers is:
A)Keep track of the various products being manufactured
B)Monitor the balance in the various cash accounts at banks
C)Identify individuals and companies who the company owes money
D)Identify the cash inflow expected from people who owe money to the company

Question

Quizplus · Accepted Answer

The purpose of the account payable subsidiary ledgers is to identify individuals and companies who the company owes money. This information is necessary for accurately tracking and managing a company's liabilities and cash flow. Options A, B, and D are not relevant to the purpose of the account payable subsidiary ledgers.

The Purpose of the Account Payable Subsidiary Ledgers Is