Sales and Purchase Ledger Control Rec

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:30AM in AAT student discussion
Brains gone dead. Apart from the following: Can anyone else think of reasons you do the reconcilaition?<BR><BR>1. Ensures that sale and pruchase ledger list balance agree to the control account<BR>2. Ensure that the figures reported in the main ledger are correct<BR>3. Acts as a cross check to ensure that the double accounting entry theory has worked.<BR>4. Ensures that you are accurately reporting creditors and debtors value sin the balance sheet<BR><BR>Thanks<BR>pm

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    If your brain is dead and you got that many, I hate to think what you are like when your brain is alive!!!<BR><BR>My brain must be dead and buried!<BR><BR>Lynn
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    I was going to say for VAT reasons, ie to calulate the VAT liability - but thats wrong isn't it.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    Can't think of anything else and my boo doesn't seem to go into that much detail as to why.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    Good way to check for fraud
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    I can't remember it was an exam question or just in a book, but I've got 3:<BR>a) access up-to-date information without having to accumulate the subsidiary debtor/creditor ledgers each time<BR>b) help eliminate fraud<BR>c) check on book-keeping - eliminate errors
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Sales and Purchase Ledger Control Rec

    Thanks everyone

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