Where are the individual trade payables recorded?

Where are the individual trade payables recorded?

• A. Subsidiary payables ledger
• B. Payables ledger control account
• C. Bank ledger
• D. Sales ledger

Answer: (A)

Individual trade payables are recorded in the subsidiary payables ledger (the supplier’s ledger). This keeps track of each supplier and the amounts you owe to them, showing the balances for every individual creditor. The total of these balances is then summarized in the payables control account in the general ledger. The bank ledger records cash movements, not what you owe; the sales ledger tracks amounts owed to you by customers, not what you owe to suppliers.

Individual trade payables are recorded in the subsidiary payables ledger (the supplier’s ledger). This keeps track of each supplier and the amounts you owe to them, showing the balances for every individual creditor. The total of these balances is then summarized in the payables control account in the general ledger. The bank ledger records cash movements, not what you owe; the sales ledger tracks amounts owed to you by customers, not what you owe to suppliers.