Asked by Ashly De Jesus on Apr 30, 2024
Verified
The chart of accounts, the journal, and the ledger are essential parts of the accounting system.
Chart of Accounts
A structured list of all the financial and nominal accounts in a company, detailing every type of transaction a business might conduct.
Accounting System
A structured process of collecting, recording, summarizing, and interpreting financial information of a business.
- Recognize essential components of the accounting system.
Verified Answer
ZK
Zybrea KnightMay 04, 2024
Final Answer :
True
Explanation :
The chart of accounts provides a list of all the accounts used by a business, the journal is used to record all transactions in chronological order, and the ledger is used to organize and summarize all transactions by account. These three components work together to create a complete accounting system.
Learning Objectives
- Recognize essential components of the accounting system.
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