Question & Answer: Why is a subsidiary ledger not needed for notes?​…..

Why is a subsidiary ledger not needed for notes?​

Expert Answer

 

Subsidiary ledger is not needed for notes because there are normally very few notes payable/receivable with a company as compared to accounts receivable/accounts payable. Hence, one account each for notes payable and for notes receivable is enough and no subsidiary ledger is required for them.

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