To prove the subsidiary ledger agrees with the Accounts Payable controlling account balance, complete a
A) debit memorandum.
B) schedule of accounts payable.
C) purchase order.
D) schedule of accounts receivable.

Question

Quizplus · Accepted Answer

A schedule of accounts payable lists all the individual balances in the subsidiary ledger, and if the total matches the balance in the Accounts Payable controlling account, this provides evidence that the subsidiary ledger agrees with the controlling account balance. A debit memorandum is a document used to inform a customer of a debit to their account, and is not relevant for this purpose. A purchase order is a document used to request goods or services, and is not relevant for this purpose. A schedule of accounts receivable is used to list the individual balances in the subsidiary ledger for Accounts Receivable, which is a related but different account from Accounts Payable.

To Prove the Subsidiary Ledger Agrees with the Accounts Payable