ANS Assets, Liabilities, Equity, Revenue, Expenses
5. Normal balance of the five account types
ANS Assets- Normal Dr balanceExpenses- Normal Dr balance
Dividends- Normal Dr balance
Equity- Normal Cr balance
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Revenue- Normal Cr balance
6. General Journal
ANS A list of transactions organized chronologically
7. Posting to the Ledger
ANS transfer transactions entered in the journal to the generalledger and categorize transactions
by account
8. Accounting Cycle
ANS a collective process of identifying, analyzing, and recordingthe accounting events of a
company
9. Steps in the Accounting Cycle
ANS 1. Collect, analyze, and post transactions to theJournal
2. Post transactions to the ledger
3. Prepare an unadjusted trial balance
4. Prepare adjusting entries at period end
5. Prepare an adjusted trial balance
6. Prepare financial statements
10. Accounting adjustments
ANS A business transaction that has not yet been includ-ed in the accounting records.
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