1. RECORDING TRANSACTIONS IN A GENERAL JOURNAL Chapter 6

2. The Accounting Cycle  Accounting Cycle – Activities that make up an accounting period  Source Document– A paper prepared as evidence of a business transaction  Examples: Invoice, Receipt, Memorandum, Check Stub

3. Source Documents  Invoice – Buying or selling an item on account  Receipt – Record of cash received  Memorandum – Brief written message describing transaction  Check Stub – Record of cash spent; contains info found on the check

4. The Accounting Cycle  Journal – Record of the transactions of a business  Journalizing – Process of recording transactions in a journal  Fiscal Year – An acct’g period of 12 months  Calendar Year – Jan 1 – Dec 31