Briefly summarize the six steps of the accounting process

What will be an ideal response?


Answer: In the accounting process, an accountant finds and sorts records, puts daily transactions in journals, puts journal entries in categories in a ledger, tests the accuracy of the ledger by running a trial balance, reports on the information by issuing financial statements, and analyzes the information by assessing the firm's financial condition by using ratio analysis.
Explanation: The accounting process includes the sorting of records, the entry of daily transactions into journals, the categorization of journal entries in a ledger, the testing of the accuracy of the ledger by trial balance, the issuing of financial statements, and the assessment of the firm's financial condition by using ratio analysis.

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Fill in the blanks with correct word

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