Explain the overall accounting cycle for a fast food restaurant. Include a description of the people, processes, and systems that are integral to the cycle.© BrainMass Inc. brainmass.com March 4, 2021, 11:26 pm ad1c9bdddf
Activities in accounting begin with a transaction and ends with the closing of books. The accounting activities are repeated each accounting cycle and are therefore termed accounting cycle. Highlighted below is the overall accounting cycles for a fast food restaurant. This description also includes the people, processes, and systems that play a major role in the accounting cycle.
Steps in Accounting cycle for a fast food restaurant.
1. Identification of a transaction: This step entails identifying the event that occurred as a transaction. Once the transaction is identified, the accountant must prepare the document that is related to that particular transaction. This document referred to as the source document could be a purchase order or an invoice.
2. Analysis and classification of the transaction: This entails identifying the transaction in monetary form and figuring out the accounts that are affected by the transaction. Once the ...
This solution explains the overall accounting cycle for a fast food restaurant. It includes a description of the people, processes, and systems that are integral to the cycle.