Assume that you are the Financial Accountant of a newly started business from your chosen Company or your own company in August 2020, You are requested to assume the chosen business transactions during the month of August 2020 and analyze it by shown the impact of these transactions on the accounting equation! After that implement the remain steps of the accounting cycle on the transactions of the chosen business. What you need to do is that you will: Step 1: Transaction (Such as Sale Purchase/Expense). Step 2: We need to record the transaction i.e., Journal Entries. Step 3: Now we need to post Joumal Entries i.e., Ledger Posting Step 4: We need to Take balance of each ledger and then prepare Trial balance (unadjusted) Step 5: We need to pass necessary adjustment Entries, if any. Step 6: After passing adjustment entries, we need to prepare Trial Balance again, we call it as adjusted Trial Balance. Step 7: Using Trial Balance, we need to prepare Financial Statements i.e., balance sheet. Step 8: Now, we need to pass closing entries. Step 9: Again, prepare final Trial Balance, we call it post-closing Trial Balance. The Accounting Cycle 1. Analyze business transactions 9. Prepare a post-closing trial balance. 8. Journalize and post closing entries 7. Prepare financial statements 6. Prepare an adjusted trial balance Learning Objective 4 State the required steps in the accounting cycle. 2. Journalize the transactions 3. Post to ledger accounts 2 4. Prepare a trial balance 5. Journalize and post adjusting entries