Hodges Ltd Uses a Subsidiary Ledger and Control Account System

question 41

Multiple Choice

Hodges Ltd uses a subsidiary ledger and control account system for its accounts receivable. At the end of the accounting period a list of customers' accounts and balances owing is prepared from the subsidiary ledger. The purpose of this customer list is to:

• A) determine the amount that should be posted to the accounts receivable control account.
• B) establish whether the total debits and total credits in the subsidiary ledger are equal.
• C) provide information necessary for the completion of the trial balance.
• D) prove that the subsidiary ledger agrees with the control account.

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Depressed Person

A person suffering from depression, a mental health disorder characterized by persistently depressed mood or loss of interest in activities, causing significant impairment in daily life.

Fundamental Fear

A basic, instinctual fear that is deeply embedded in humans, often related to survival such as fear of darkness or predators.

Agoraphobia

An anxiety disorder characterized by an intense fear of being in places where escape might be difficult or that help wouldn't be available if things go wrong.

Major Depression

Major depression is a mental health disorder characterized by persistently depressed mood or loss of interest in activities, causing significant impairment in daily life.