The accounting cycle is a combination of processes that occur at different times within a given period. The time period can be weekly, monthly, quarterly, half-yearly or annually, depending on the needs of the organization or company for which the accounting cycle is carried out. The cycle consists of ten stages. The steps are as follows: The first step concerns transaction analysis. The second step is to keep a journal. The third step is to publish. The fourth step is to prepare an unadjusted trial balance. The fifth step is to adapt. The sixth step is to prepare an adjusted trial balance. The seventh step is to prepare the financial statements. The eighth step is to close. The ninth step is to prepare a post-closing trial balance, and the tenth step is to reverse the situation. This article will discuss the accounting cycle in more detail, the effects of omissions and conclude with an overview of financial statements. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get an original essayThe accounting cycle was originally designed for accountants who did not have access to the computer software we use today. Many accounting software programs available allow users to complete various steps of the accounting cycle in one step, or to complete the steps out of order. However, the basis on which these measures were designed has not changed. This is the main reason why finance professionals and students who focus their studies on all things business still learn the accounting cycle. Transaction analysis means that a business must keep all purchasing documents, checks, receipts, and any other documents that may indicate a financial transaction. Journalizing transactions requires determining which accounts will be affected by the transaction and correctly recording the transaction to reflect those accounts. The accountant must use the double-entry bookkeeping method to journalize transactions. The purpose of preparing the various trial balances is to double-check the accuracy of the results with the entered figures. There are various checks and balances in accounting to ensure accurate reporting. The purpose of correcting entries and reversing entries is to ensure that all numbers balance correctly to ensure transparency of a company's financial figures. If someone inadvertently skips a step or forgets a step, the data may not be accurate or key components may be missing. In order to have the most accurate balance sheets and the most transparent financial data, certain steps should not be omitted. Omitting steps can potentially lead to inaccuracies as well as quantitative discrepancies which could eventually lead to poor performance standards, audit failure, or even litigation. All stakeholders in a business review a company's financial statements to assess the health of the business. If a milestone or accounting figure is not accurately reported, stakeholders, such as executives, customers, or owners, may not make decisions that are best for the business. Some of the main financial statements that come out of the accounting cycle are the balance sheet, cash flow statement, income statement, and equity statement. These statements are all important as they serve various purposes for the company. They.