Which of the Following Statements About Subsidiary Ledgers and Control

question 14

Multiple Choice

Which of the following statements about subsidiary ledgers and control accounts is NOT true?

• A) Every entry made to an account in the subsidiary ledger is also reflected in the control account in the general ledger.
• B) All credit entries will be the same in aggregate between the subsidiary ledger and the control account.
• C) The total of the balances appearing in the accounts in the subsidiary ledger should equal the balance appearing in the control account.
• D) If the total of the subsidiary ledger accounts fails to agree with the balance of the control account,the subsidiary ledger must be in error.

---

Definitions:

Minimum Price Schedule

A regulatory tool or policy setting the lowest price at which goods or services can be legally sold, often used in agricultural markets or with alcohol sales.

Conglomerate

A large corporation composed of diverse and independent industry sectors or companies under a single corporate group.

Men's Socks

Footwear specifically designed to cover men’s feet and lower legs, typically made from various fabrics and used for warmth, comfort, and fashion.

Webb-Pomerene Act

A 1918 U.S. federal law that allows certain export business activities to be exempt from antitrust laws, enabling American exporters to combine into associations to promote their foreign trade.