ACC349.Wk1.individualpaper - Running head ACCOUNTING CYCLE...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Running head: ACCOUNTING CYCLE 1 Accounting Cycle Melissa Thomas-Briones ACC/421 July 14, 2011 Jeffery Hendrix
Background image of page 1

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

View Full DocumentRight Arrow Icon
ACCOUNTING CYCLE 2 Accounting Cycle The accounting cycle is an important part of any company’s financial health. Certified Public Accountants recommend following the accounting cycle to be able to determine the company’s financial status appropriately. This is especially recommended during tax season. According to WebFinance Inc (2011), the accounting cycle can be defined as “The sequence of six steps in the processing of financial transactions (from the time they occur to their inclusion in financial statements) pertaining to an accounting period.” (Definition, para. 1). The six steps of the accounting cycle are listed and discussed below. Step 1: Analyzing the transactions as they occur In this first step of the accounting cycle transactions are separated into the correct debits and credits as they occur. This is an important part of the cycle because just one transaction listed in the wrong column or the wrong category can skew the financial results on financial reports later on.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 01/01/2012 for the course ACCOUNTING Intermedia taught by Professor Varied during the Spring '11 term at University of Science and Arts of Oklahoma.

Page1 / 5

ACC349.Wk1.individualpaper - Running head ACCOUNTING CYCLE...

This preview shows document pages 1 - 3. Sign up to view the full document.

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