Welcome to Accounting 101.

Accounting Cycle

The cycle are the steps of creating a journal to keep track of transactions.
1. View the source document. The source document can be anything from a check, check stub, reciept, or an invoice.
2. Once you have viewed the source document, you must decide on what journal it goes in. Once you have choose a journal, you post that transaction.
3. Once an certain period of time has gone by, you must prepare a trial balance.
4. After you have made the trial balance you will need to record adjusting and reversing entries. (more details on closing work.)
5. Then you will prepare financial statements.
6. Journalize and post closing entries.
7. Prepare a post-closing trial balance.
    These are the 7 steps in the cycle. As you continue to go through this website, some of these steps will make more sense.

---

Careers

There are many available jobs that deal with accounting. You can be an accountant for major companies or even the government. You can also be an auditor or a book keeper. You can also be a public account, registered public account, or an accounting practioner. If you enjoy accounting but don't enjoy sitting at a desk all day, you could be an accounting teacher :)

---

There are also various types of business ownerships. A sole proprietorship is a form of business organization. This is how many people start their businesses out as. They are very simple and don't require much work to begin. A partnership is very similar to a sole proprietorship. Each person is responisble for their half of the company. That includes the revenue and the expenses. A corporation is two businesses that are linked together. They are each in charge of their own business but they work together to make a bigger profit. Nokia would be an example of a corporation.