Posted in Finance, Accounting and Economics Terms, Total Reads: 168
Definition: Sub Account
Sub Account is the method to divide the expenses as well as income into the proportion of the respective departments. It also them accountable the company and gives every department the freedom to formulate its own strategy.
It is a different account of the account holder which can be operated by the bank individually. These are not assets. It is used for large account which is often used for better allocations of resources of budget and expenses. There are specific rules under which it operates.