the accounting cycle n.
Skip this Video
Loading SlideShow in 5 Seconds..
The Accounting Cycle PowerPoint Presentation
Download Presentation
The Accounting Cycle

Loading in 2 Seconds...

play fullscreen
1 / 6

The Accounting Cycle - PowerPoint PPT Presentation

  • Uploaded on

The Accounting Cycle. The Accounting Cycle. Steps During the Accounting Period. Transferring information from ledger to day books.

I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
Download Presentation

PowerPoint Slideshow about 'The Accounting Cycle' - lewis

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.

- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
steps during the accounting period
Steps During the Accounting Period

Transferring information from ledger to day books

Identify the information through an original source document which provides the date, amount, description, and the name and address of other party. Journals are kept in chronological order.

Listing all the accounts and their balances to check the equality of debits and credits

Preparing and posting accrued and deferred items to journals and ledger T-accounts


Preparing and posting the closing entries to transfer the balances from the temporary accounts such as the revenue and expenses from the income statement to owner’s equity on the balance sheet

Preparing the financial statements for external users

Making final checks on accuracy before preparing the financial statements.

l i m i t a t i o n s

It can only record items that have monetary value.

It uses previous economic activities of the business to form the basis of its accounting records.

Many items on the financial statements are results of estimates.

Accounting policies differ between firms which makes comparison difficult.

thank you

Thank You

The End