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Do computerized systems use controlling accounts to verify the accuracy of the subsidiary accounts?
Wiki User
∙ 10y ago
no
Wiki User
∙ 10y ago
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What are controlling accounts and subsidiary ledgers?
A control account is an account found in the general ledger such as accounts receivable,accounts payable,inventory etc. The accounts are a summation of entries made in the subsidiary ledgers and are used to check the accuracy of those entries.
Which statement focuses on testing the arithmetical accuracy of the ledger accounts?
trial balance
A trail balance is only a prima facie evidence of the accuracy of the books of accounts?
yes it is
What is the purpose of preparing a Control Account?
They check the accuracy of the ledger accounts that they control and help to detect fraud.
What are the benefits of disposing of accounts receivables?
Accurate costing and controlling cost measures help to take important managerial decisions. Hence all credit based amounts should be disposed off for better accuracy. If they are unpaid, they become a bad debt expense. Trouble in collecting debts will also bring trouble in paying bills. Hence all accounts receivables should be disposed off as early as possible.
What are controlling accounts and subsidiary ledgers?
A control account is an account found in the general ledger such as accounts receivable,accounts payable,inventory etc. The accounts are a summation of entries made in the subsidiary ledgers and are used to check the accuracy of those entries.
What are the benefits of computerize?
There are several benefits to using a computerized accounting program, including speed and accuracy. The information is also easily accessible.
Which statement focuses on testing the arithmetical accuracy of the ledger accounts?
trial balance
Bank examiners are?
Bank examiners typically have the job of auditing accounts for accuracy.
A trail balance is only a prima facie evidence of the accuracy of the books of accounts?
yes it is
How do you improve accuracy by controlling the variables more carefully?
Accuracy is how close together your results are each time you repeat an experiment, so keeping the variables as constant as you can ensures your results differ as little as possible.
What is the purpose of preparing a Control Account?
They check the accuracy of the ledger accounts that they control and help to detect fraud.
Is accuracy important for accounts payable?
Accuracy is very important in accounts payable and accounting in general. If accuracy is not done in accounts payable, there could be several consequences. If you are not accurate on the amount due you may over pay a bill or under pay a bill. In the first senario one would be wasting usuable cash to the company if they overpaind a bill. If you under pay a bill, the company may receive a late fee or eventually not be given credit on account from the company in the future. Also if your accounts payable is not correct your financial statements will be incorreect. Net income of the company may be higher or lower depending on if there is an overstatement or understatement of accounts payable.
What are the benefits of disposing of accounts receivables?
Accurate costing and controlling cost measures help to take important managerial decisions. Hence all credit based amounts should be disposed off for better accuracy. If they are unpaid, they become a bad debt expense. Trouble in collecting debts will also bring trouble in paying bills. Hence all accounts receivables should be disposed off as early as possible.
Who are the persons responsible for ensuring proper maintenance of books of account?
The Bookkeeper is required to maintain the books. The accountant has to check the accuracy of the bookkeeper and finally the accounts are audited by he auditors to verify the completeness and accuracy.
What is the main purpose of producing a trial balance?
In the accounting process there will be various & those transactions will be journalised,posted in ledgers than according to the clasifications, after that balancing of ledger accounts will be made. After the end of the process before preparing Final accounts it is the duty of the accountant to satisfy him self about the correctness of the posting amounts and the balances. To know the arthimatical accuracy of the accounts the accountant will prepare Trial Balance which will help him to check the accuracy of the the accounts Biraj Joshi Nepal 0977-9849824360
What is accurals?
The correct spelling is accrual. Accrual is an adjustment for revenues that were earned but have not been recorded in accounts. It can be an incurred expense that has not been recorded in accounts.
