to help assure that the customer subsidiary accounts are posted for the
same total amount posted to the control account.
At the end of each month, the total of the trial balance of customer
account balances (prepared by the accounts receivable department) are
reconciled to the
general ledger control account by the accounting department
supervisor.
Sales invoice batches are dated with the date of shipment, and totals of
each batches are accumulated each month and recorded in the accounts
receivable
control and sales revenue accounts. The accounting department
supervisor approves all monthly summary entries before posting to the
general ledger.
The controller approves all cash refunds and allowance credit memos
for sales returns, after initiation by customer service.
Cash Management
The monthly bank statements are mailed to the controller’s office.
Duplicate deposit slips are retained and used when bank deposits are
made, the cash receipts
journal listing, and the cash disbursements listing to reconcile the
general bank accounts. The payroll bank account is also reconciled,
utilizing the payroll register
retained by the controller’s office.