Acc 201 Final Project Part I Accounting Cycle Report

Acc 201 Final Project Part I Accounting Cycle Report

ACC 201 Final Project Part I Accounting Cycle Report Saheed Alabi Southern New Hampshire University
The purpose of accounting cycle report is to keep the best accounting records up to date. It also assist in producing the best possible financial statement that shows the true pictures of the business or organization and help making a good call whether business is profitable or not.
Journal Entries: This is the first step in accounting cycle and are used to record all business transactions and events in the accounting system. The role of Journal entries is also to identifying, analyzing and journalizing the transactions as they occurred because if you don 't know a transaction occurred, you can 't record one. This plays an important role in getting the financial statement accurate. T–Accounts: This is the second step in the accounting cycle and the purpose of journalizing it in the T–accounts is to record the net change in cash caused by the business event. It also help preparing the statement of cash flow faster and could aid the management understanding the movement of cash and non–cash items. Unadjusted Trial Balance: This is the third step in the accounting cycle. After all the journal entries are posted to the T–accounts, the unadjusted trial balance can be prepared and the purpose is to be sure that the total amount of debit balances in the general ledger equals the total amount of credit balances. Adjusting Entries: This is the fourth step in the accounting

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