The accounting cycle is a multi-step process that ensures a company's financial statements are accurate and follow the steps correctly.

Step 1 is identifying transactions. This step makes sure all transactions are accounted for no matter if they profit the company or put the company in debt. Another section in step 1 is recording journal entries. After identifying transactions, they need to be recorded through a journal entry. The entry includes the date, how much money is involved, and what accounts are affected by the transaction (Liberto, D. 2025). Step 2 includes the transaction being documented into a general ledger. This is necessary for the record-keeping of the company and its financial data (Liberto, D. 2025). Step 3 is preparing a trial balance; this step makes sure all the transactions balance out. This makes sure the total debts equal to the total credit or numbers within the transaction were off in the last few steps (Liberto, D. 2025). Step 4 analyzing the worksheet. This step is crucial for the company because it allows for discrepancies to be found and later fixed. Also, step 4is Adjusting; this step allows for the discrepancies from previous steps to be fixed/ corrected so the balance matches (Liberto, D. 2025). Step 5 is preparing an end-of-period spreadsheet. This step is not required, but it is useful to show the flow of accounts from the unadjusted period to the adjusted period. This spreadsheet is also useful in showing the impact of proposed adjustments (Warren et al, 2024). Step 6 is documenting journals and adjusted entries, is documenting the adjustments that were done in step 4. Explanations of adjustments are needed to see why they were done (Warren et al, 2024). Step 7 is preparing the adjusted trial balance. This is done after all adjustments have been made final and can be written into an adjusted trial balance. This verifies the debit, and credit balances and makes sure they are equal. Errors found during this step need immediate attention and corrected before moving to the last few steps (Warren et al, 2024). Step 8 is generating financial statements. This step is taken when all adjustments have been made and all the numbers are correct, 3 statement sheets are created from the transaction data. Balance sheet, income statement, and cash flow statements. These sheets explain the company's assets, revenues, liabilities and how much cash has entered and exited the business in said time (Liberto, D. 2025). Step 9 is documenting journals and post-closing entries. These journals reflect the debt of the revenue, expense account, and the company's capital account and drawing account.Step 10is preparing a pose-closing trial balance. This balance helps the company verify that for the next accounting period the ledger is within the balance (Warren et al, 2024).can you give me a short positive feed back about this post