Control Accounts Quiz
Sales Ledger Control Account & Purchases Ledger Control Account
30 Questions
What is the main purpose of a Sales Ledger Control Account?
Where is the Sales Ledger Control Account maintained?
Credit sales are recorded on which side of the Sales Ledger Control Account?
Cash received from credit customers is recorded on which side of the Sales Ledger Control Account?
Which item would normally appear on the credit side of the Sales Ledger Control Account?
Which item normally appears on the debit side of a Purchases Ledger Control Account?
Credit purchases are recorded on which side of the Purchases Ledger Control Account?
Discount received from suppliers is recorded on which side of the Purchases Ledger Control Account?
Which account represents the total amount owed by customers?
Which account represents the total amount owed to suppliers?
Sales returns are recorded on which side of the Sales Ledger Control Account?
Purchase returns are recorded on which side of the Purchases Ledger Control Account?
A customer pays money to the business. What happens to total trade receivables?
A business pays a supplier. What happens to total trade payables?
Which of the following is an advantage of a control account?
The opening balance of trade receivables is $12,000. Credit sales during the month are $45,000. Cash received from customers is $30,000. Calculate the closing balance of trade receivables.
Your answer: $
Opening trade receivables are $18,000. Credit sales are $60,000. Sales returns are $4,000. Cash received is $45,000. Calculate the closing trade receivables.
Your answer: $
Opening trade payables are $15,000. Credit purchases are $50,000. Cash paid to suppliers is $35,000. Calculate the closing trade payables.
Your answer: $
Opening trade payables are $22,000. Credit purchases are $70,000. Purchase returns are $5,000. Cash paid to suppliers is $50,000. Calculate the closing trade payables.
Your answer: $
A customer balance of $3,000 was completely omitted from the list of debtors. Which balance is affected by this error? Explain your answer.
Credit sales of $4,000 were correctly included in the Sales Ledger Control Account, but the amount was not posted to the customer's individual account. Which balance is affected?
The Sales Day Book was undercast by $2,500. Explain which account is affected and whether the correction should increase or decrease the balance.
A credit sale of $600 was originally recorded as $800. Explain the effect on the Sales Ledger and Sales Ledger Control Account.
A credit purchase of $900 was completely omitted from the accounting records. Explain the effect on the Purchases Ledger and Purchases Ledger Control Account.
Complete the missing figures.
| Sales Ledger Control Account | |
|---|---|
| Debit | Credit |
| Balance b/d: $10,000 | Cash received: $25,000 |
| Credit sales: $40,000 | Sales returns: $3,000 |
| Balance c/d: | |
Calculate the closing balance of trade receivables.
Opening trade receivables = $25,000
Credit sales = $75,000
Sales returns = $6,000
Cash received = $55,000
Discount allowed = $4,000
Complete the calculation and find the closing balance.
Closing balance: $
Opening trade payables = $20,000
Credit purchases = $80,000
Cash paid = $60,000
Purchase returns = $5,000
Calculate the closing balance of trade payables.
Closing balance: $
Opening trade payables = $30,000
Credit purchases = $100,000
Cash paid to suppliers = $70,000
Discount received = $5,000
Purchase returns = $8,000
Calculate the closing balance.
Closing balance: $
For each item, write Debit or Credit.
| Item | Your Answer |
|---|---|
| Credit sales in Sales Ledger Control Account | |
| Cash received from customers | |
| Credit purchases in Purchases Ledger Control Account | |
| Cash paid to suppliers | |
| Sales returns | |
| Purchase returns |
A business has the following information for the month:
Prepare the Sales Ledger Control Account and calculate the closing balance of trade receivables.
Closing balance: $