A franchise's economic figures must be recorded,then transferred and balanced before final calculations can be determined.Which of the following sequences indicates the path taken by these figures during the accounting process?

Question

Quizplus · Accepted Answer

Income and expense figures are initially entered in an accounting book called the journal.After all entries have been journalized,each transaction is posted (transferred)to the general ledger,which may be a bound book,a computer printout,or even a set of file cards.Once amounts have been posted or ledgered,they are balanced.These balanced amounts are then used to prepare the financial statements.

A Franchise's Economic Figures Must Be Recorded,then Transferred and Balanced