In preparing monthly bills to be sent to individual credit customers,the billing department will use the accounts payable subsidiary ledger,rather than the general ledger.

Question

Quizplus · Accepted Answer

The billing department would use the accounts receivable subsidiary ledger for preparing monthly bills for credit customers, not the accounts payable subsidiary ledger. Accounts receivable track amounts owed to the company, while accounts payable track amounts the company owes to others.

In Preparing Monthly Bills to Be Sent to Individual Credit