Accounting Information Systems 7th Edition by Cynthia Heagy,Constance Lehmann

Exercise 5

Aca Pool Co. owes Deakin Pool Supplies $5,100 and Major Pool Supplies $9,000. Instead of having these two payable accounts in its general ledger, Aca Pool Co. wants to move the accounts to a subsidiary ledger and substitute a single control account in the general ledger to represent the removed accounts.
Required:
Illustrate what the general ledger would look like before establishing a control account and a subsidiary ledger. Also show what the general ledger and subsidiary ledger would look like after the control account and subsidiary ledger have been created.