The Sixth and Final Step in the Accounting Cycle Involves

question 126

Multiple Choice

The sixth and final step in the accounting cycle involves

• A) performing a trial balance to verify that the accounting statements are internally consistent.
• B) auditing the books to ensure that they were prepared according to generally accepted accounting principles.
• C) preparing the income statement.
• D) analyzing major accounting statements to evaluate the financial condition of the firm.

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Definitions:

Vocal Cords

Bands of muscle tissue located in the larynx that vibrate to produce sound when air is expelled from the lungs, enabling speech and singing.

Epithelium

A membranous tissue covering internal organs and other internal surfaces of the body, involved in protection, secretion, and absorption.

Bronchus

Airway connecting the trachea to a lung.

Alveoli

Small pulmonary vesicles where oxygen and carbon dioxide are exchanged in the respiratory process.