AIS 02 - Acct 3320 Accounting: is the process of...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Acct 3320 Chapter 2 Accounting: is the process of identifying, measuring, and communicating economic information to permit informed judgments and decision by users of the information. Bookkeeping: the process of recording transactions in a journal, posting them to ledger accounts, and preparing basic financial statements. Though often confused with accounting, bookkeeping is distinct; it focuses on the mechanical aspects and rules of accounting and often can be completed more easily with the aid o f information technology. Accounting cycle: the set of repetitive activities used to prepare general purpose financial statements. Although many parts of the accounting cycle can be completed more easily with information technology, some parts require significant human judgment and decision making. 1. Obtain information about external transactions from source documents. 2. Analyze transactions. 3. Record the transactions in a journal 4. Post from the journal to the general ledger accounts. 5. Prepare an unadjusted trial balance. 6. Record adjusting entries and post to the general ledger accounts. 7.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 2

AIS 02 - Acct 3320 Accounting: is the process of...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online