Objective of recording business transactions, Accounting Basics

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Q. Objective of Recording business transactions?

- Use the account as the essential classifying and storage unit for accounting information.

- Articulate the effects of business transactions in terms of debits and credits to different types of accounts.

- List the points in the accounting cycle.

- Record the results of business transactions in a journal.

- Post journal entries to an account in the ledger.

- Organize a trial balance to test the equality of debits and credits in the journalizing and posting process.

- Use and Analyze the financial results-horizontal and vertical analyses.


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