What Is the Correct Order in Which the Steps for Analysing

question 21

Multiple Choice

What is the correct order in which the steps for analysing transactions are carried out?
I Decide what accounts are affected.
Ii Decide if the account type is increasing or decreasing.
Iii Apply the rules of debit and credit.
Iv Decide on the account type.

• A) i, ii, iii, iv
• B) iv, ii, i, iii
• C) i, iv, ii, iii
• D) i, ii, iv, iii

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Definitions:

Prospectus

A public document required by law before securities are issued, revealing material facts about that security and its issuer, with such true, full, and plain disclosure that a potential investor may make an informed decision as to the riskiness and price of that security.

New Issue

In finance, refers to securities or stocks being offered for sale to the public for the first time.

Proposed Purchasers

Individuals or entities expressing interest in or committing to buy a property, business, or other valuable asset.

Prospectus Disclosure

Information provided to potential investors about a company's business, financial status, and investment risk.