Accounting

 

1.  what is accounting cycle?

Ans:It is essential to describe to the accounting cycle in behalf. The cycle commences with the happening of a transaction and ends with the preparation of final accounts, i.e. profit and loss account and balance sheet . The following chart will show the accounting.
   

                        TRANSACTION
                                    |
                               ENTRY
                                     |
           PRIMARY ENTRY--JOURNAL
                                     |
                   POSTING IN LEDGER
                                      |
                       TRIAL BALANCE
                                      |
       FINAL ACCOUNT --PROFIT &LOSS  &BALANCE SHEET