All 26 Computerized Bookkeeping questions
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Bookkeeping › Computerized Bookkeeping

How do you reconcile a control account in accounting software?

Intermediate

Answer

The software maintains control accounts (receivables/payables) automatically and provides aged reports listing the underlying balances. Reconciliation compares the control account balance to the aged detail (they should match automatically) and investigates any manual journals posted directly to the control account, which can cause differences.
Real-world example The aged receivables total should equal the receivables control balance; a manual journal to the control account is the usual culprit if not.

Common follow-ups: Why might software control accounts still differ? | What report shows the detail?

Control Accounts Sales & Purchase Ledgers Computerized Bookkeeping
All 26 Computerized Bookkeeping questions