The accounting cycle does not end after the preparation of financial statements. While the information relative to the performance or results of business operations and financial conditions were already relayed to the owner and other potential users, a compliance of an accounting requirement which is the "closing of the books of accounts" signaling the end of an accounting period and the preparation of "post-closing trial balance" to ensure the arithmetical accuracy and correctness of the balances of accounts after closing entry has been done and to facilitate the preparation of the next or new accounting period. The closing of books of accounts at the end of the calendar year is also a governmental requirement for income tax and renewal of business taxes and permits purposes. REVERSING ANALYZING ENTRIES POST-CLOSING TRIAL BALANCE JOURNALIZING CLOSING ENTRIES POSTING FINANCIAL STATEMENT TRIAL BALANCE WORKSHEET ADJUSTING ENTRIES Activity This is the last part of the accounting cycle. Before we proceed to our lesson, I want you to draw your own illustration of the Accounting Cycle showing the sequential steps of the accounting process. Based on the drawn illustration, briefly explain each step based on your acquired knowledge through a video recording. Analysis