Basic Accounting Steps Quiz

To represent different categories such as assets, liabilities, equity, revenue, and expenses

To identify and analyze financial transactions

To transfer information to the general ledger

To record financial transactions in chronological order (correct)

A document that shows the balance of each account

A specialized book where you record each transaction in chronological order

A summary of all financial transactions related to your business

A collection of accounts that represent different categories such as assets, liabilities, equity, revenue, and expenses (correct)

All the money coming in and going out, such as sales, expenses, loans, and investments (correct)

Only sales and expenses

Only cash receipts and cash disbursements

Only loans and investments