Accounting Cycle

Step 1 Step 8

Analyize the Transaction

Journalize and Post Closing Entries and Prepare a

Step 2 Journalize the Transaction

post-closing Trial Balance Sheet

Step 7 Prepare Financial Statements

1. Income Statement

Accounting Cycle

Step 3 Post the Transaction to the General Ledger

2. Retained Earnings statements

(T-Accounts)

3. Balance Sheet

Step 6 Prepare Adjusted Trial Balance

Step 4 Step 5 Prepare Adjusting Jounal Entries and post to general Ledger

MJC 2/2012

Prepare a Trial Balance