Subsidiary Ledger (Subledger)

A subsidiary ledger or subledger represents a section of transactions that roll up to the general ledger. For example, a general ledger will include multiple subledgers for things such as accounts receivable, cash, expenses, assets, etc. The relationship between subledgers and the general ledger are many to one. For example, a business many have cash in multiple bank accounts and investment funds. These all represent cash which are managed in separate subledgers that roll-up to the master cash account in the general ledger.