The Accounting Cycle

In the global point of view, an account statement cycle refers to certain(prenominal) procedures that must be established by every line unit to get out the data to be communicateed on the fiscal statements. The history process comprises of dickens interrelated parts the recording descriptor and the summarizing phase. Although these phases vary in details depending on the nature of the business, the main purpose is upright the same to be able to put up an accurate report containing the firms condition and the resolvent of its operation.To clearly illustrate the comp allowe accounting cycle of a finance company, let us take as an mannikin Dann & Berns, Inc. The company is engaged in providing business analysis including credit investigation, a exhaustive study of the company profile, review of the clients financial statements, and providing an overall rating of the clients, whom we will blazon out as renders in this example.Among Dann & Berns subjects include boastfu lly companies who be applying for accreditation as a allocator of an another(prenominal) firm applicant ratification for banks and other financial institutions offering various(a) types of loans, as part of their pre-approval requirements outsourcing companies and other headhunting firms for hire-right purposes and others from varied industries. To be able to provide the requisite ser iniquitys, Dann & Berns is hiring very senior financial professionals for these functions.These professionals atomic number 18 required to have a warm patronageground in finance and accounting as well as the major power to communicate with the top management of disparate financial institutions. A deep intimacy on financial analysis is exceedingly expected from them. The Operations Department is refer in the main process and is consist of report coordinators, field officers, business analysts, and editors, who are all directly reporting to the vice president. Other departments providing sup port include marketing, valet de chambre resources, legal, information technology, accounting and audit.The marketing hatful are the ones who have direct finish off with the subject. They collect and forward the primary documents and other requirements to the operations department through the report coordinators. The report coordinators will then scuttlebutt necessary data for monitoring and naming of subjects to the business analysts. The editors are responsible in reviewing the attain of the business analysts. Their responsibilities include double-checking of the ratings addicted to the subject, based on their company profile, the return of background checks, outcome of credit investigations made, and the heart of their financial statements.Field officers are the ones who do the personal background-checking and other liaison work including but not limited to hookup of pertinent documents from the Securities and Exchange Commission, IRS, Federal shore and other banks, and other regulatory bodies to authenticate the validity of the papers submitted by the subject. at one time the accreditation process is done, the editors will forward the reports back to the report coordinators, who will then edit a list of completed reports per subject to the accounting department for billing purposes. This is the starting point of Dann & Berns accounting cycle.