Copy and paste the following questions into a Microsoft Word document. Answer each question with a minimum of two to three (2 – 3) sentences. Some prompts will require substantially more than that to fully respond. Be thorough when addressing each item and be sure to answer each part of the prompt. You should use only your textbook to support this activity. Please do not use an Internet search engine.
1. Describe each of the four basic financial statements.
2. What is the purpose of closing entries, and what accounts are affected?
3. What are the (four) steps to recording closing entries?
4. Describe an Internal Control system.