Step 1
Analyze Business transactions
Step 2
Record Journal entries
Step 3
Post to general ledger accounts
Step 4
Prepare a trial balance
Step 5
Journalize and post adjusting journal entries
Step 6
Prepare adjusted trial balance
Step 7
Prepare financial statements
step 8
journalize post closing entries
Step 9
Prepare
General ledger
arrangment of ALL OF A COMPANYS ACCOUNTS IN ORDER
Which has more accounts, the general ledger or the chart of accounts?
tHE CHART OF ACCOUNTS
Trial Balance
is a listing of all of a company's accounts with their respective balances in columnar form
What is the first financial statement
Income Statement
Income statement includes
Revenue and Expense accounts
What is the second financial statement
Statement of Retained Earnings
Statement of Retained Earnings includes
Retained Earnings both Beginning and Ending, and Dividends Account
What is the third financial statement
Balance Sheet
Balance Sheet includes
Asset, Liability and Equity, NO DIVIDENDS
What is fourth financial statement
Statement of Cash FLows
All financial statements must contain
name of company, name of financial statement, date
The balance sheet lists a company position at
a specific point in time