Question

The total of the individual account balances in the accounts receivable master file should equal the

A) total sales for the period.
B) balance of the sales account in the general ledger.
C) total sales less the total cash received for the period.
D) balance of the accounts receivable account in the general ledger.

Answer 1

The total of the individual account balances in the accounts receivable master file should equal the balance of the accounts receivable account in the general ledger.

Step-by-step explanation:

The total of the individual account balances in the accounts receivable master file should equal the balance of the accounts receivable account in the general ledger.

For example, let's say you have three customers. Customer A owes $100, Customer B owes $150, and Customer C owes $200. The individual account balances in the accounts receivable master file would total $450. This should match the balance of the accounts receivable account in the general ledger.