The usual sequence of steps in the recording process is to
A) analyze each transaction, enter the transaction in the journal, and transfer the information to the ledger accounts.
B) analyze each transaction, enter the transaction in the ledger, and transfer the information to the journal.
C) analyze each transaction, enter the transaction in the book of accounts, and transfer the information to the journal.
D) analyze each transaction, enter the transaction in the book of original entry, and transfer the information to the journal.

Question

Quizplus · Accepted Answer

The correct sequence for recording transactions in accounting involves first analyzing each transaction to understand its financial impact. Then, the transaction is entered into the journal, which is the book of original entry. Finally, the information from the journal is transferred to the ledger accounts, where it is organized by account.

The Usual Sequence of Steps in the Recording Process Is