(1)
Concept Introduction
Journal entries: The entries that explain the impact of transactions and the way they influence accounts are stated as journal entries. They serve as a record of all transactions made by a business. The information in journal entries serves as the foundation for all financial reporting. In a business journal, transactions are often entered using the double-entry method.
To prepare: The journal entries for the various transactions that occurred.
(2)
Concept Introduction
Financial Statement: The written reports which depict the financial status of a company are stated as financial statements. These statements are used for the analysis of different financial ratios and calculations by the investors and the users.
The transaction that requires a note to the financial statements.

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