Discuss the various steps of accounting cycle and practical examples?
Accounting refers to the process of bookkeeping that are involved in making the financial records of business transactions. These Bookkeeping methods are also used in preparation of statements concerning the assets, liabilities and operating results of a company. It is a very important process in an organization. The information derived from the accounting processes gives complete financial information about the company and conveys its financial standing to the owners and employees of the company. It also shows which products or assets of the company are most profitable and those which are weak. Day to day bookkeeping on the accounting principles, helps in keeping record of daily transactions and also helps in preventing any frauds.
