A general ledger account that summarises the detail maintained in a subsidiary ledger is called a:
A) key account.
B) summary account.
C) control account.
D) master account.

Question

Quizplus · Accepted Answer

A control account is a general ledger account that summarises the detailed transactions maintained in a subsidiary ledger. It is used to ensure that the total of the subsidiary ledger equals the balance of the control account in the general ledger. The other options, key account, summary account and master account are not commonly used accounting terms.

A General Ledger Account That Summarises the Detail Maintained in a Subsidiary