State the phases of 'Accounting Cycle'.

Phases of accounting cycle: • Business transactions are analysed and the transactions are recorded in the journal. • Journal entries are posted to ledger accounts. • A trial balance is prepared from balances of accounts. • Accounts are reviewed and the necessary adjustments made. Adjustments are posted in the ledger to prepare adjusted trial balance. • Adjusted trial balance is used to prepare the balance sheet and profit and loss account. • Financial statements are prepared from the finally adjusted ledger accounts and balancing the accounts.