Question

Vail Company recorded the following selected transactions during November 2017.

1. Open a general ledger having T-accounts for Accounts Receivable, Sales, and Sales Returns and Allowances. Also open an accounts receivable subsidiary ledger having a T-account for each of its three customers. Post these entries to both the general ledger and the accounts receivable ledger.

Short answer

The general ledger is the second step in accounting after the journal book. Each transaction's subsidiary book is prepared, and its balance is accumulated at the end of each year.

Step-by-step solution

General ledger accounts for Accounts receivables, Sales and Sales return and allowances

Accounts receivables subsidiary ledger account for each of its customers