Accounting Cycle

Accounting  Cycle

Accounting cycle stages:

1. The proof of the transaction

2. Journal

3. Ledger

4. The trial balance

5. Adjustment Journal

6. The work sheet or financial statements

7. The journal covers/Closing Entries

Accounting cycle are as follows:

a. Recording data in the source document / transaction receipt.

b. Journalizing, which analyze and record the transaction in the journal (diary)

c. Posting to the General Ledger is moving debit and credit of the journal to the General Ledger account.

d. Preparation of Balance Balance Balance Balance unttuk prepare a check for the balance of the Big Book.

e. Making adjusting entries and enter the sums on the Trial Balance.

f. Make closing verses that journaling and transfer the closing verses.

g. Preparation of Financial Statements which the Income Statement, Statement of Changes in Equity and Balance Sheet.