Uses of Control Account - SS1 Accounting Past Questions and Answers - page 1
What is one use of a control account?
To increase financial discrepancies
To reduce financial reporting
To monitor financial activity
To decrease financial planning
How can control accounts help with financial analysis?
By summarizing data from multiple accounts
By increasing financial discrepancies
By reducing financial reporting
By decreasing financial planning
What is the benefit of using control accounts for financial reporting?
They provide a clear and concise summary of financial activity
They increase financial discrepancies
They reduce financial analysis
They decrease financial planning
What is one use of a control account in financial planning?
To increase spending
To reduce spending
To decrease financial projections
To make more accurate financial projections
How do control accounts help with financial organization?
By increasing financial discrepancies
By reducing financial reporting
By summarizing the activity and balances of related accounts
By decreasing financial analysis
What is the purpose of using a control account for financial monitoring?
The purpose of using a control account for financial monitoring is to quickly identify discrepancies or issues in financial activity within a particular area of an organization.
How can control accounts be useful for financial planning and budgeting?
Control accounts can be useful for financial planning and budgeting by providing a summarized view of data from multiple accounts. This allows managers to identify areas where spending can be reduced or increased, and make more accurate financial projections.