What are the initial steps in the accounting cycle and what happens in each step ?...

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Accounting

What are the initial steps in the accounting cycle and whathappens in each step ? Explain in detail.

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ANSWER ACCOUNTING CYCLE MEANING A bookkeeping cycle is the aggregate procedure of recognizing breaking down and recording the bookkeeping occasions of an organization The arrangement of steps starts when an exchange happens and end with its consideration in the monetary explanations Bookkeeping cycle is a constant and settled process which should be taken after appropriately Upkeep of congruity bookkeeping cycle is imperative STEPS OF ACCOUNTING CYCLE Analyzing and Classify Data about an Economic Event Journalizing the transaction Posting from the Journals to General Ledger Preparing the Unadjusted Trial Balance Recording Adjusting Entries Preparing the Adjusted Trial Balance Preparing Financial Statements Recording Closing Entries Preparing a Closing Trial Balance Recording Reversing Entries EXPLAINATION 1 Analyzing and Classify Data about an Economic Event Identififying the transaction from the eventis the initial step of the bookkeeping procedure Occasions are examined See Answer

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