List the Four Steps, in Order, of the Sequence of the Accounting

question 90

Essay

List the four steps, in order, of the sequence of the accounting cycle. Be sure to include any sub-steps.

---

Definitions:

Two-State

Usually references a model involving two possible outcomes or states, often used in finance to model investment under uncertainty.

Hedge Ratio

The ratio used to calculate the number of derivatives needed to hedge a particular risk exposure.

Hedge Ratio

A ratio used to measure the proportion of exposure that is protected from risk through hedging activities.

Dollar Change

The difference in the value of a financial instrument or market index between two points in time.