week 1 assignment - Every business no matter what size or...

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Every business no matter what size or in which sector, has to have the accounting cycle in order to maintain its financial structure. The accounting cycle begins with the analysis of transactions recorded on source documents such as invoices and checks; it ends with the completion of a post-closing trial balance (http://www.cliffsnotes.com/study_guide/The- Accounting-Cycle.topicArticleId-21081,articleId-21028.html). The accounting cycle consists of a sequence of steps which have to be repeated from the start to the end for every transaction and hence called as the accounting cycle. I work in a restaurant, where we need the accounting cycle to manage the financial transactions. Since the business is small, only a few people are involved in this process from the start till the end. - Identify Transactions: The first step in the accounting cycle starts when a financial transaction happens in the business. This will depend of the type of business one is involved in. In the restaurant business, transactions will happen when the customer pays their bill and when the supplies are bought. The people involved will be the cashier and the people who purchase the
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This note was uploaded on 04/04/2012 for the course ACC 422 taught by Professor Susan during the Spring '08 term at University of Phoenix.

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week 1 assignment - Every business no matter what size or...

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