Question

How do you record transactions? Find the Answer at BYJU'S

Answer 1

The steps involved in recording transactions are:

• Identify transactions.
• Record the transaction into journal entries.
• Post the journal entries to the ledger book.
• Identify an unadjusted trial balance.
• Make adjusting entries if required.
• Prepare an adjusted trial balance after making all the adjustments.
• Prepare the financial statements.
• Close the accounting books for a particular month.
• Begin the next cycle with the previous closing balance.