All 25 Control Accounts questions
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What is the purpose of control accounts? Where do the figures for the control accounts come from? Can a control account have both a debit and a credit balance? What is the difference between a control account and a personal account? What is the difference between the SLCA and PLCA in one line each? Why are control accounts prepared by someone other than the ledger clerk? What entries appear in the sales ledger control account? What entries appear in the purchases ledger control account? How does a control account help detect errors? What is a control account reconciliation?
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Bookkeeping › Control Accounts

What is the normal balance of the sales and purchases ledger control accounts?

Beginner

Answer

The sales ledger control account normally has a debit balance (customers owe the business—an asset). The purchases ledger control account normally has a credit balance (the business owes suppliers—a liability). Small opposite balances can also exist from overpayments.
Real-world example Debtors control carries a debit balance; creditors control carries a credit balance.

Common follow-ups: Why is the SLCA a debit balance? | What causes a small opposite balance?

Sales & Purchase Ledgers Trial Balance Control Accounts
All 25 Control Accounts questions