The steps in the process of accounting take place in the following order:
A) measuring, identifying, decision making, communicating.
B) identifying, measuring, communicating, decision making.
C) identifying, communicating, measuring, decision making.
D) identifying, decision making, measuring, communicating.

Question

Quizplus · Accepted Answer

The first step in accounting is identifying the relevant financial transactions, followed by measuring them and then communicating them through financial statements. Finally, decision making takes place based on the information provided in the financial statements. Therefore, the correct order is: identifying, measuring, communicating, decision making, making option B the best choice.

The Steps in the Process of Accounting Take Place in the Following