Which of the following is the order of steps to journalize an entry?
A) Identify the accounts and the account type → Decide whether each account increases or decreases, then apply the rules of debits and credits → Record the transaction
B) Identify the accounts and the account type → Record the transaction → Decide whether each account increases or decreases, then apply the rules of debits and credits
C) Record the transaction → Identify the accounts and the account type → Decide whether each account increases or decreases, then apply the rules of debits and credits
D) Decide whether each account increases or decreases, then apply the rules of debits and credits → Identify the accounts and the account type → Record the transaction

Question

Quizplus · Accepted Answer

The correct order to journalize an entry starts with identifying the accounts involved and determining their type (asset, liability, equity, revenue, or expense). Next, one must decide if each account increases or decreases and apply the rules of debits and credits accordingly. Finally, the transaction is recorded in the journal.

Which of the Following Is the Order of Steps to Journalize