
Concept explainers
(a)
Control account:
It is a general ledger account which summarizes the entire details about the subsidiary ledger data. The purpose of using control account is that to maintain the general ledger free from many details and provide clean and correct balances to be used in the financial statements.
Subsidiary Ledger:
Subsidiary ledger refers to the individual accounts, the summary of which is merged into the control account. It relives the burden on the general ledger and makes the posting easier and quicker.
To Prepare: The opening balance of Subsidiary account for Company C.
(b)
To Prepare: The ending balance of account payable control account.
(c)
To Compute: The balances in the subsidiary accounts at the end of the month.
(d)
To Identify: The January transaction that would not be recorded in the special journal of Company.

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Chapter J Solutions
Financial Accounting, 10e WileyPLUS Registration Card + Loose-leaf Print Companion
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