Review the steps in the accounting cycle covered in this chapter and answer the following questions: 1. What is the fifth step? 2. What is the sixth step? 3. What would happen if the fifth step was not completed? 4. What is the purpose of the sixth step? 1. What is the fifth step of the accounting cycle? Journalize and post adjusting entries. 2. What is the sixth step? Prepare the adjusted trial balance. 3. What would happen if the fifth step was not completed? Debits would not equal credits in the unadjusted trial balance. Net income would be understated on the income statement. The balance sheet would not balance. The ledger accounts would all show a $0 balance. The ledger accounts would not be updated and would not report the correct balances.