Control Accounts Flashcards
1
Q
Name and explain the advantages of control accounts
A
- Proof of the ARITHMETICAL ACCURACYof entries in the ledger
- Provide immediate TOTALS for the trial balance
- Enables the DRAFT FINAL ACCOUNTS to be prepared quickly
- Saves time in FINDING ERRORS
- Helps REDUCE FRAUD by providing an internal check on the ledgers
- Improves MANAGEMENT control and decisions
- Provide a check on DATA input in a computerised system
