My favorite part of the accounting cycle is the first step, which is identifying transactions. I personally enjoy this part because I like seeing the transactions such as purchases, expenses, and debt so that I have a well-rounded understanding of the transactions happening within the organization. While the data here is still in its rawest form, I find it interesting to organize and sort these out in order for me to eventually track and log them.

            There is no doubt that this step is necessary because it lays down all the groundwork for all the other accounting processes to take place. Without this step, the various expenses would not be sorted and recorded, and it would be impossible to log and check all the data given. While this step can be considered fairly simple compared to the other steps, it is integral to do this step correctly because doing otherwise will mess up all the other steps, creating the need to repeat certain steps and lengthening the whole process.