Part of the Double Entry System?

[Jeremy007]

Could anyone help me out with the following query? Many thanks in advance

With regard to double entry system, I have a query: is individual payables/receivables accounts part of double entry system? On GTG, it says they are not and they are only memorandum account. However on the same book, we can find many examples of treating individual accounts as though they belonged to the double entry system. I've just picked this one at random from the book:
D8.17
Dr Purchases 10,000
Cr Pen Co 10,000

E5.9
Dr Salary account 3,500
Cr Sam account 3,500
Being cash paid for salary recorded in Sam's personal account.

[Acid]

Hi there,

Accounts payable/receivable are indeed part of double entry accounts. Make sure that you are not looking at Control Accounts payable/receivable as they are memorandum accounts which are not the part of double entry account.

I hope this helps.

Regards

[Deepak82]

When control accounts are maintained, the individual ledgers of customers become memorandum accounting books.

Where control accounts are not maintained the individual accounts of suppliers will obviously form part of double entry system.

However use of control account would be beneficial as they can be prepared quickly to provide the total outstanding balance in customers’ and suppliers’ accounts without having to add up all the individual accounts.

As a result, the control account is often used as the account for double entry, and the individual ledger accounts are maintained as memorandum accounts.

In the examples cited by you may assume that control accounts are not maintained and therefore individual accounts are used to record entry.


Hope this helps you. If you still have doubts let me know.

Andrew

[Jeremy007]

When control accounts are maintained, the individual ledgers of customers become memorandum accounting books.

Where control accounts are not maintained the individual accounts of suppliers will obviously form part of double entry system.

However use of control account would be beneficial as they can be prepared quickly to provide the total outstanding balance in customers’ and suppliers’ accounts without having to add up all the individual accounts.

As a result, the control account is often used as the account for double entry, and the individual ledger accounts are maintained as memorandum accounts.

In the examples cited by you may assume that control accounts are not maintained and therefore individual accounts are used to record entry.


Hope this helps you. If you still have doubts let me know.

Andrew

Thanks a lot for your elaborations on my questions, both of you, Andrew and Acid. I should have visited this forum a bit earlier. I really appreciate your prompty and spot-on help.