Preston Ltd Uses a Subsidiary Ledger and Control Account System

Multiple Choice

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

A) furnish the amount that should be posted to the accounts receivable control account.
B) determine whether the debits equal the credits in the subsidiary ledger.
C) prove that the subsidiary ledger agrees with the control account.
D) provide information necessary for trial balance preparation.