Saved Help Save & Exit Submit 4 Required information Learning Objective 02-01 Identify the basic steps in measuring external transactions [The following information applies to the questions displayed below) External transactions are transactions between the company and a separate company or individual Internal transactions do not include an exchange with a separate economic entity 2 of 2 3 The six-step measurement process is the foundation of financial accounting. To understand this process. It is important to realize in step 2 that we analyze the effects of business transactions on the accounting equation Then, in step 3 we begin the process of translating those effects into the accounting records 0126.02 Six Steps in Measuring External Transactions book Print 0 res Knowledge Check 01 Which of the following is not an asset account? Multiple Choice O Accounts Payable Cosh Equipment Supplies