The phases of an accounting system are:
A) setting objectives, planning, analysis.
B) evaluation, processing, output.
C) identification, recording, analysis, reporting.
D) none of the above.

Question

Quizplus · Accepted Answer

The phases of an accounting system are usually identified as identification, recording, analysis, and reporting. These phases represent the basic sequence of events that are processed by an accounting system. The identification phase involves identifying and selecting the financial events and transactions that are relevant to the organization. The recording phase involves the actual recording of the transactions in the accounting system. The analysis phase involves the processing of the recorded information to derive meaningful information from it. Finally, the reporting phase involves the compilation and communication of the information to the users of the accounting system.

The Phases of an Accounting System Are