10. Control account reconciliations

Question 1

What are we doing with control account reconciliations from the daybooks

Answer 1

We are putting this into the memorandum accounts and then the reconciling the memorandum accounts with the relevant control account

Question 2

What is the memorandum accounts not part of

Answer 2

The double entry system

Question 3

What’s the receivable ledger account reconciliation

Answer 3

An exercise which agrees the balance on the receivables ledger control account to the total of the list of balances in the receivables ledger

Question 4

What is credited on the recievable ledger control account

Answer 4

Sales return
Receipts from customers
Discount Allowed
Irrecoverable debts written off
Contra entry WITH PLCA
Balance c/d

Question 5

What is debted on the recievable ledger control account

Answer 5

Balance b/d
Credit sales
Dishonoured cheques

Question 6

What’s the payables ledger control account reconciliation

Answer 6

An exercise which agrees the balance on the payable ledger control account to

Question 7

What is debited on the the payables ledger control account reconciliation

Answer 7

Purchase returns
Payment to suppliers
Discount recieved
Contra entry WITH RLCA
Balance c/d

Question 8

What is credited on the payables ledger control account reconciliation

Answer 8

Balance b/d
Credit purchases