The accounting cycle begins with:
A)Posting of journal entries to ledger accounts.
B)Formation of a business.
C)Initial recording of business transactions.
D)Preparation of a trial balance.

Question

Quizplus · Accepted Answer

The accounting cycle always begins with the initial recording of business transactions. This involves analyzing and identifying the transaction, and then recording it in the appropriate journal or book of original entry. From there, the rest of the accounting cycle can take place, such as posting to ledger accounts and preparing a trial balance. However, these steps cannot occur until the initial recording of transactions has taken place.

The Accounting Cycle Begins With