Interpretatio

The final phase is interpreting which is where people look at the data that has been n
recorded, classified and summarized and they interpret that data. This data will also be used
to come up with future financial plans for the business.
Summarizing
Summarizing is the third phase where all data must be summarized at the end. Summarized and
data must be clear and easy to understan. Informations must be clearly presented in a Presentation
written article.
Sorting and
Classifying is the second phase. In order to determine how much one spent in each of the Classification
categories one has to classify the records. where all records or logs must be sorted and
categorized .
Recording is the first phase of accounting in which informations are recorded for different Identification
needs. It is used in taxes, budgeting, reporting, bussiness plans. An accountant will need to and Record
access records and paperworks, from this the accountant can create a log so she/he can get
an idea of how much money is being spent or earned.
Phases of Accounting