There are five steps in the accounting cycle, which when finished lead to the trial balance, adjusting entries, preparation of the financial reports and the closing entries. These steps are repeated during each accounting period, monthly, quarterly or yearly. I work for Fidelity Investments and the accounting cycle from start to finish is electronic. This helps the accountants, as they will always have a paper trail that is important, especially when it is time to meet with the auditors. …
