Why are Accounts Payable opening balances not posted to the General Ledger?

Question

BlackTom AI · Accepted Answer

Question restated: Why are Accounts Payable opening balances not posted to the General Ledger?

Option 1: You are not able to post to the General Ledger.
This is not correct. In typical accounting systems, posting to the General Ledger is possible; the issue is not about an inability to post but about whether a separate posting is needed for opening balances. The common practice is to avoid duplicating balances, not to assume posting is impossible.

Option 2: The Accounts Payable balance is already in the General Ledger Account Payable account.
This is the key idea. Opening balances for AP are usually captured in the GL already via the Accounts Payable (AP) control account, which reconciles the subledger balances (vendors, invoices, payments) with the GL. Since the GL already contains the AP balance, posting separate opening balances would double-count the amount. The subledger provides the detailed view, while the GL contains the summarized, posted balance in the AP control account.

Option 3: Accounts Payable is a control account.
While true, this statement explains the nature of AP as a control account but does not by itself justify why opening balances are not posted. The more precise reason is that the balance is already reflected in the GL via the AP control account, and duplicating it would cause duplication. Describing AP as a control account is supportive context, not the direct answer.

Option 4: None of the above
This is incorrect because Option 2 provides a correct and sufficient explanation about why opening balances are not posted to the GL.

SG30018E2 - Sage 300 2018 Accounts Payable Module 2 Quiz

Why are Accounts Payable opening balances not posted to the General Ledger?

View Explanation

Log in for full answers

Similar Questions

True or False? Accounts payable represents money that is owed to a business.

If accounts payable increase during an accounting period, then the cash paid for merchandise purchased is less than the merchandise purchases for the period.

What is a current liability that results when a business does not pay cash when the asset is purchased?

Paid $12,000 cash for account previously owed to cleaning equipment suppliers.

Accounts payable represent money that a firm owes to ________.

What is the Invoice Count for Period 01 for Vendor Group SUP, as determined in Step 9?

In the A/P Post Batches form, which of the following types of batches can you not post?

What is the purpose of posting adjustment batches in the Accounts Payable module immediately after they have been reviewed for errors and printed? Select the best answer.

More Practical Tools for Students Powered by AI Study Helper

Homework AI Solver

Stylized AI Paper Writer

Plagiarism Checker Assistant

Citation AI Academic Writing Tool

In-Class Translation Assistant

AI Note Generator

AI Quiz Answers

Past Exam Questions from University Test Bank

Smart Practice Assistant

Adaptive Practice

Making Your Study Simpler