The debit and credit analysis of a transaction normally takes place
A) before an entry is recorded in a journal.
B) when the entry is posted to the ledger.
C) when the trial balance is prepared.
D) at the end of the accounting cycle.

Question

Quizplus · Accepted Answer

The debit and credit analysis of a transaction takes place before an entry is recorded in a journal to ensure that the accounting equation remains balanced and the entry reflects the correct financial transaction.

The Debit and Credit Analysis of a Transaction Normally Takes