Assume that you have been working as an accountant since the onset of this newly started business. It was started on January 1 of the current year. It is now December 31, and you talk to the owner about "completing the accounting cycle," including preparing a work sheet, financial statements, and journalizing and posting the closing entries. The owner says to you, "I see no need to waste your time or mine in doing this. We have not been very profitable this year. Let's wait until one year from now before doing any of this."

What should your response be to him/her? Give any explanations/justifications that you would use to support your answer to him/her.