In a chart of accounts using three digits for each account,each numeric digit has meaning to users of the AIS.For example,a numeric digit may represent either a major category of accounts,a primary financial subaccount within each category,or a specific account into which transaction data will be posted.Using this example,which digit position would best represent a primary financial subaccount within an account category?
A)first
B)second
C)third
D)fourth

Question

Quizplus · Accepted Answer

The second digit position is most commonly used to represent a primary financial subaccount within an account category. The first digit is typically used to represent the major category of accounts, while the third digit is typically used to represent specific accounts within the subaccount. The fourth digit is not commonly used in a three-digit chart of accounts.

In a Chart of Accounts Using Three Digits for Each