Asked by Cortni Mckinney on May 06, 2024
Verified
The reference column of the accounts in the accounts payable subsidiary ledger after posting may show
A) only P references.
B) CP P or G references.
C) G P or S references.
D) only CP references.
Subsidiary Ledger
A detailed ledger that contains all the transaction details of a specific account, which is summarized in the general ledger.
Accounts Payable
Liabilities or money owed by a company to its creditors or suppliers for goods and services received but not yet paid for.
- Comprehend the importance and use of subsidiary ledgers and control accounts to maintain detailed accounting information.
Verified Answer
JO
Josphat OngamaMay 12, 2024
Final Answer :
B
Explanation :
The accounts payable subsidiary ledger usually contains the account names, addresses, and outstanding balances of creditors. The reference column in this ledger is used to identify the source of the entry. After posting, the reference column may show P (Purchase order), CP (Cash Payment), or G (General). Therefore, the best choice is B, which indicates that the reference column might show CP, P, or G references.
Learning Objectives
- Comprehend the importance and use of subsidiary ledgers and control accounts to maintain detailed accounting information.
Related questions
Indicate Whether Each of the Following Accounts Would Be Shown ...
Maldanado Company Has a Balance in Its Accounts Payable Control ...
On December 1 the Accounts Receivable Control Account Balance in ...
To Prove the Subsidiary Ledger Agrees with the Accounts Payable ...
When a Large Number of Individual Accounts with a Common ...