6 Accounting Cycle Summary

Identify the steps associated with the accounting cycle.

Kyle matched expenses with the revenue earned in the current period. Kyle was completing the __________ phase of the accounting cycle.

posting

journalizing

closing

adjusting

Which of the following is correct in the context of temporary accounts?

A rolling balance carries over from one accounting period to the next.

After closing at the end of a period, these accounts are reopened at the beginning of the next period.

After determining which assets can be claimed by the owner, these accounts track resources that are owned by others.

These accounts record the accumulated profits throughout the life of a business.

Preparing financial statements is which phase of the accounting cycle?

Posting

Analyzing

Reporting

Closing