Question

is defined as a method of ---- determining the cost based on the deletion or cancellation of recording of some or all of the journal entries associated with the accounting cycle from the purchase of direct materials to the sale of finished .goods

Answer 1

Answer:

The purpose of the Accounting Cycle is to convert ALL the transactions that have happened in the business into meaningful financial information for the reader through Financial Statements.

Purpose of Accounting Cycle

The main purpose of the accounting cycle is to record all the transactions systematically without missing an entry. It leads to the accuracy of all financial records. The accountant prepares the financial statements considering accounting records and cycle.

The purpose of accounting is to accumulate and report on financial information about the performance, financial position, and cash flows of a business. This information is then used to reach decisions about how to manage the business, or invest in it, or lend money to it.