After transaction information has been recorded in the journal it is transferred to the
A) trial balance.
B) income statement.
C) book of original entry.
D) ledger.

Question

Quizplus · Accepted Answer

The ledger is the book where all transaction information is summarized and stored by account. It provides the basis for preparing financial statements and is the next step after recording transactions in the journal. The trial balance is a list of all accounts and their balances, not where transaction information is stored. The income statement is a financial statement that summarizes the company's revenues and expenses over a period of time, not where transaction information is stored. The book of original entry is another name for the journal where transaction information is initially recorded.

After Transaction Information Has Been Recorded in the Journal It