Accounting Cycle Concepts 1. Which one of the following contains the selected steps of the accounting cycle in the correct order? 1. Journalize the transactions. 2. Post transactions to ledger accounts. 3. Analyze transactions 4. Prepare financial statements. 5. Prepare a trial balance. a 1.2, 3, 5, 4 b. 3, 2, 1,4,5 C. 3, 1, 2, 5,4 d. 3, 1, 2, 4,5 2. The procedure of transferring journal entries to ledger accounts is called a. journalizing b. ledgering c recording d. posting 3. Journalizing is the process of: a preparing a chart of accounts. b. adding a column of figures. c. transferring journal entries to ledger accounts. d. recording entries in a journal. 4. Transactions are initially recorded in the a. ledger b. trial balance C. Journal d. balance sheet 5. What is the appropriate order for a company's chart of accounts ? a. assets, liabilities, revenues, expenses, stockholders' equity b. assets, revenues, expenses, liabilities, stockholders' equity. cassets, liabilities, stockholders' equity, expenses, revenues d. assets, liabilities, stockholders' equity, revenues, expenses. 6. Which of the following is not a part of a complete journal entry? a. The accounts and amounts to be debited and credited. b. The balance of each account affected by the transaction c. The date of the transaction d. A brief explanation of the transaction. Transaction Analysis 7. An increase in a revenue: a decreases net income. b. decreases assets. c. increases liabilities d. increases stockholders' equity. 8. Receipt of an unearned revenue: a decreases a liability: increases stockholders' equity