Which of the following correctly describes the sequence of the steps in the accounting cycle?

Multiple choice question.

$(1)$ Adjust the accounts, $(2)$ prepare financial statements, $(3)$ close the temporary accounts, $(4)$ record transactions.

$(1)$ Record transactions, $(2)$ prepare financial statements, $(3)$ adjust the accounts, $(4)$ close the temporary accounts.

$(1)$ Close the temporary accounts, $(2)$ record transactions, $(3)$ adjust the accounts, $(4)$ prepare financial statements.

$(1)$ Record transactions, $(2)$ adjust the accounts, $(3)$ prepare financial statements, $(4)$ close the temporary accounts.