Which of the following statements about subsidiary ledgers and control accounts is NOT true?
A) Every entry made to an account in the subsidiary ledger is also reflected in the control account in the general ledger.
B) All credit entries will be the same in aggregate between the subsidiary ledger and the control account.
C) The total of the balances appearing in the accounts in the subsidiary ledger should equal the balance appearing in the control account.
D) If the total of the subsidiary ledger accounts fails to agree with the balance of the control account,the subsidiary ledger must be in error.

Question

Quizplus · Accepted Answer

The statement in D is not necessarily true because the discrepancy could also be due to an error in the control account or in the process of recording transactions in either the control account or the subsidiary ledgers. Errors can occur in either place, not just in the subsidiary ledger.

Which of the Following Statements About Subsidiary Ledgers and Control