Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

Hamid keeps control accounts so he can check how accurate the purchases ledger and sales ledger are in his business.

(a)[4]

Explain two advantages a business gains from using control accounts apart from checking the arithmetical accuracy of ledger accounts.

(b)[6]

Prepare the sales ledger control account covering January 2021.

(c(i))[2]

Prepare statements showing the corrected totals for the purchases ledger balances.

(c(ii))[3]

Prepare statements showing the corrected purchases ledger control account balance.

Worked solution & mark scheme

This 15-mark question has a full step-by-step worked solution and mark scheme.