Financial Report
Student’s Name
Institution

Components of the Annual Report Accounting inputs are records of business and transactions. They arise from sales, purchases, investments and other financial activities. To ensure the success of the financial report, you need to record these transactions as they happen and process them accurately in order. Income statement, stockholders equity, cash flow statements and balance sheets are financial reports you can prepare using these accounting inputs (Rodov & Leliaert, 2002). First, scrutinize all the source documents for example cash registers, bills and invoices and receipts to ensure they are accurate. Secondly, prepare journal entries for each of the transactions in the source documents and transfer all the journal entries for their respective books of original entry for example purchase and cash and general journals and sales journals. Thirdly, the general ledger accounts, which is a collection of all business accounts. Once done with entries into a journal, you should post the journals to respective accounts in the general ledger (Ettredge, Richardson & Scholz, 2001). Next is the unadjusted trial balance. A trial balance confirms the accuracy of the general ledger created; therefore, you need to prepare an unadjusted trial balance that is the summary of the credit and debit balances ass contained in the general ledger. Credit balance and debit balance should be equal (Rodov & Leliaert, 2002). Finally the adjusted trial balance, you need to prepare an adjusted trial balance to account for accruals and prepayments. Income accruals are the pending earnings while expense accruals are pending obligations for rendered goods and services. Once finished preparing trial balance you will effectively have completed the process of accounting inputs hence the need to prepare financial reports using the