Involved apply the rules to determine which accounts

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Unformatted text preview: ) that are Identify involved in the transaction. involved Apply the rules to determine which accounts are ‘debited’ and which are ‘credited’. ‘debited’ At least one account must be ‘debited’ and one At account ‘credited’. The totals of debited accounts must equal the The total of credited accounts. total How the accounting cycle works –the bookkeeper’s part bookkeeper’s The bookkeeper records these journal entries The bookkeeper using the ‘double-entry’ system during the accounting period - known as ‘posting’. accounting At the end of the accounting period, the At bookkeeper summarizes the balances of each account and presents these to the accountant accountant in a statement - known as ‘taking out a ‘Trial Balance’. Balance’. How the accounting cycle works- the accountant’s part accountant’s The accountant The accountant takes the data in the Trial Balance as the basis for producing the Financial Statements Financial...
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