Sales and Purchase Ledger Control Account
Control accounts are the summarized form of their related subledgers. They are shown in the general ledger and act as a control to check if the total in the general ledger is in sync with the total of its associated subledgers.
Sales Ledger Control Account (SLCA)
Also known as the “Trade debtors control A/C”, it shows the total trade debtors of a company at a given time. In other words, the sales ledger control account, shows the total of the amount owed to a business by its customers at a particular point of time, i.e. the total of Accounts Receivables.
Sales ledger control account is a part of a balance sheet and a short-term asset.
Example
Let’s assume that on December 31, 2013, the total debtors in the general ledger are valued at 1,00,000.
| Type | Debtors | Amount |
| Debtor 1 | Oriental Pvt Ltd. |
25,000 |
| Debtor 2 | Axel Pvt Ltd. | 40,000 |
| Debtor 3 | Sun Pvt Ltd. | 35,000 |
| Total Debtors | Sales Ledger Control A/C | 1,00,000 |
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Purchase Ledger Control Account (PLCA)
Also known as the “Trade creditors control A/C”, it shows the total trade creditors of a company at a given time. In other words, it shows how much in total a business owes to its suppliers at a particular point of time, i.e. the total of Accounts Payable.
Purchase ledger control account is a part of a balance sheet and a short-term liability.
Example
Let’s assume that on December 31, 2013, the total creditors in the general ledger are valued at 1,00,000.
| Type | Creditors | Amount |
| Creditor 1 | Foxtrot Pvt Ltd. | 30,000 |
| Creditor 2 | Ingenious Corp. | 40,000 |
| Creditor 3 | Rent Free Pvt Ltd. | 30,000 |
| Total Creditors | Purchase Ledger Control A/C | 1,00,000 |
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