The balance of a control account in the general ledger
A) must always be zero.
B) must equal the amount of total assets.
C) is always greater than the composite balance of individual accounts in a related subsidiary ledger.
D) must equal the composite balance of individual accounts in a related subsidiary ledger.

Question

Quizplus · Accepted Answer

The balance of a control account in the general ledger must equal the composite balance of individual accounts in a related subsidiary ledger. This ensures that the general ledger and subsidiary ledger are in agreement and that all transactions have been properly recorded.

The Balance of a Control Account in the General Ledger