Chapter 8. The Subsidiary Ledger System. Three Ledger System. As a business grows so do the number of credit customers (debtors) and suppliers (creditors) General Ledger may have too many accounts to track Create “subsidiary ledgers” A/R sub ledger A/P sub ledger. A/R Sub ledger.
The Subsidiary Ledger System
Duties of A/R Clerk
Must equal the A/R control account in the general ledger
Duties of the A/P clerk