- Journal entries (25):
- Record any transaction showing which accounts are changed and by what amount
- General journal (26)
- Listing of all journal entries
- General ledger (27)
- Sort entries in general journal
- Initial trial balance
- Show balance in each account at the end of each accounting period
- Adjusted trial balance
- If any adjusting entries needed → recorded in adjusted trial balance
- Financial statements
- Account balance from adjusted trial balance is presented in financial statement
Journal entries → general ledger → initial trial balance → adjusted trial balance → financial statement