All 25 Control Accounts questions
More in Control Accounts
What is a control account? 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 normal balance of the sales and purchases ledger control accounts? 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?
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Bookkeeping › Control Accounts

What is the difference between a control account and a personal account?

Beginner

Answer

A personal account records transactions with one specific customer or supplier (in the subsidiary ledger). A control account records the totals for all such accounts collectively (in the nominal ledger). The control account is part of the double entry and the trial balance; the personal accounts are memoranda supporting it.
Real-world example One customer's account is a personal account; the receivables control account summarizes all customers.

Common follow-ups: Which appears in the trial balance? | Which holds individual detail?

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