An "accounts receivable subsidiary ledger" is a ledger that provides detailed information about a company's accounts receivable. This information can include the name and contact information of the customer, the invoices that are owed, the amount owed, and the date the invoices are due. This information can be used to help a company keep track of its accounts receivable and to follow up with customers who have not yet paid their invoices.
What is the meaning of subsidiary ledger in accounting?
A subsidiary ledger is a record of the transactions that pertain to a specific account in the general ledger. For example, if a company has a general ledger that includes an Accounts Receivable account, the subsidiary ledger for Accounts Receivable would contain all of the individual transactions that make up the Accounts Receivable balance.
The purpose of a subsidiary ledger is to provide more detailed information about a specific account than what is available in the general ledger. This can be helpful in managing and understanding the financial activity of a company. Why do we need subsidiary ledger? A subsidiary ledger is a detailed record of the transactions relating to a specific account. The ledger contains a record of all the debits and credits for the account, as well as a running balance. The subsidiary ledger is used to provide information about a specific account that is not readily available in the general ledger.
The general ledger is a record of all the financial transactions of a company. It includes information about all the accounts in the company, but it does not provide detailed information about any one account. The subsidiary ledger provides the detailed information about a specific account that is not available in the general ledger.
The subsidiary ledger is important because it provides information that is not available in the general ledger. This information is used to make decisions about the account. For example, if a company is trying to decide whether to extend credit to a customer, the company will look at the customer's account in the subsidiary ledger to see if the customer has a history of paying their bills on time. What are the three types of receivables? The three types of receivables are:
1. Accounts receivable
2. Notes receivable
3. Accrued receivables
What is chart of accounts?
The chart of accounts is a listing of all the account titles that appear in the general ledger of an organization. The chart of accounts includes a brief description of each account as well as the account number. The chart of accounts is used by the organization's accounting staff to ensure that all transactions are recorded in the correct account.
What type of asset is accounts receivable? Accounts receivable is an asset type that refers to the money owed to a company by its customers. This can be in the form of loans, services rendered, or products sold on credit. Accounts receivable is considered to be a liquid asset, since it is typically easy to convert into cash.