Explain the steps to generate a full set of accounting report?

Question

Explain the steps to generate a full set of accounting report?

Answer 1

record the transactions in the appropriate journals

post the journals to the general ledger

prepare a trial balance

review balances and adjust trial balance as necessary

prepare profit and loss statement and manufacturing statement

close profit and loss accounts to income summary

close income summary to retained earnings

prepare balance sheet

prepare statement of changes in financial position

prepare statement of retained earnings