Lavender Books

Tag: Accounting Cycle

  • The Accounting Cycle, Part 4

    The Accounting Cycle, Part 4

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    by

    Felix
    in

    Today we reach the final daily step for each individual transaction: recordation. Don’t get too excited, the accounting cycle is far from over, but many aspects of it take place at the end of the accounting period. Double-entry accounting dictates that each transaction be recorded in at least two accounts. Debits and credits need to…

  • The Accounting Cycle, Part 1

    The Accounting Cycle, Part 1

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    by

    Felix
    in

    The first part of the Accounting Cycle is to collect accounting transactions and identify the events behind them. There are many events that cause an accounting transaction. These include but are not limited to: If money changes hands, or there is the promise of money changing hands at a later date, an event has occurred.…