CONTROL ACCOUNT : LSUS
Financial Accounting SSS2 Third Term
WEEK – FOUR
TOPIC: - CONTROL ACCOUNT
i. Definition of Control Accounts
ii. Advantages of Control Accounts
iii. Division of control and their format
Control accounts is the extraction of trial balance from individual ledger account of a large organization. Generally speaking, large organizations prepare different types of ledger accounts, but error might occur when preparing these ledgers. To locate the error easily individual trial balance need to be opened for each ledger account, anyone that fails to agree indicates that there are errors. Control account is an easy way to locate errors from ledger account. Control account is also called self balancing ledge.
ADVANTAGES OF CONTROL ACCOUNT
- It helps in locating errors
- It saves time
Subscribe now to gain full access to this lesson noteTake Me There
Click here to gain access to the full notes.