Lesson 6

Question 1

Steps in the Accounting cycle

Answer 1

1. Identifying and analyzing
2. Journalizing
3. Posting
4. Unadjusted trial balance
5. Adjusting entries
6. Adjusted trial balance (and/or Worksheet)
7. Financial statements
8. Closing entries
9. Post-closing trial balance
10. Reversing entries

Question 2

e transactions that involve the business and another external party.

Types of Events

Answer 2

External events

Question 3

re events that** do not involve an external** party.

Answer 3

Internal event

Question 4

refers to recording an identified accountable event in the journal by means of a journal entry. refers to recording an identified accountable event in the journal by means of a journal entry.

Answer 4

Journalizing

Question 5

contains a single debit and a** single** credit element.

Answer 5

Simple journal entry

Question 6

contains two or more debits or credits.

Answer 6

Compound journal entry