Question

Discuss what accounting steps/stages he needs to adhere so that the transactions can be duly recorded and processed in order to prepare the financial statements.

Answer 1

Explanation:

The accounting cycle is a fundamental process for completing a company’s bookkeeping tasks. Following steps should be taken to complete the accounting cycle;

• Identify transactions
• Record transactions in a journal
• Posting of every transaction
• Unadjusted trial balance
• Balance worksheet
• Adjusting journal entries

All the above steps should be taken and in proper sequence for the proper making of financial statements