subsidiary ledger
Học thuậtThân thiện
Definition
Noun: A subsidiary ledger is a detailed accounting record that contains the individual transaction details for a specific general ledger account. It supports and provides the breakdown for the total balance shown in the general ledger.
Usage
A subsidiary ledger is used to organize detailed information, keeping the general ledger from becoming cluttered with excessive detail. The total of all accounts in a subsidiary ledger must equal the balance in its corresponding controlling account in the general ledger.
Examples
- Noun:
- The accounts receivable subsidiary ledger lists all the individual customer balances.
- To verify the total inventory value, the accountant reviewed the subsidiary ledger.
- The general ledger shows a single accounts payable balance, while the subsidiary ledger contains a separate record for each vendor.
Advanced Usage
- "to maintain a subsidiary ledger": To keep and update a detailed record for a specific set of accounts.
- The company maintains a separate fixed asset subsidiary ledger for all its equipment and vehicles.
Variants and Related Words
Controlling Account (noun): The general ledger account that summarizes the total of the accounts in a subsidiary ledger.
- The "Accounts Receivable" account in the general ledger is a controlling account for the customers' subsidiary ledger.
Subledger (noun): A common abbreviated term for "subsidiary ledger".
- All transactions are first posted to the appropriate subledger.
Synonyms
- Detail ledger: A ledger containing detailed transaction records.
- Supporting ledger: A ledger that provides the detailed support for a general ledger total.
Related Phrases
- To reconcile to the general ledger: The process of ensuring the total of a subsidiary ledger matches its controlling account balance.
- At month-end, the bookkeeper must reconcile the subsidiary ledger to the general ledger.
Noun
- details of an account supporting the amount stated in the general ledger