Which of the following steps follows the recording of a business transaction in a journal?
A) Posting of journal entries to the accounts in a ledger
B) Preparing a post-closing trial balance
C) Completing the work sheet
D) Journalizing and posting adjusting entries

Question

Quizplus · Accepted Answer

After recording a business transaction in a journal, the next step is to post the journal entries to the accounts in a ledger. This is done to keep track of the balances in each account and update them accordingly. Option B, preparing a post-closing trial balance, is done at the end of the accounting cycle to ensure that the total debits and credits in the ledger are equal. Option C, completing the worksheet, is done before preparing financial statements to ensure that all adjustments have been made correctly. Option D, journalizing and posting adjusting entries, is done to adjust the accounts for accruals, deferrals, and other events that need to be recorded at the end of the accounting period.

Which of the Following Steps Follows the Recording of a Business