To provide an adequate separation of functions in the accounts receivable business process,maintaining the subsidiary accounts receivable ledger should be the responsibility of
A) billing.
B) accounts receivable.
C) cash receipts.
D) general ledger.

Question

Quizplus · Accepted Answer

Maintaining the subsidiary accounts receivable ledger falls under the responsibility of the accounts receivable department as it involves recording and monitoring customer transactions, applying payments, and ensuring timely collections. Billing is responsible for generating invoices, cash receipts for depositing incoming payments, and the general ledger for summarizing all financial transactions. Therefore, the best choice is B) accounts receivable.

To Provide an Adequate Separation of Functions in the Accounts