The correct answer is C. Balancing.
Balancing is the process of ascertaining the balance of a particular account on a given date. It is done by adding up all the debits and credits to the account and then subtracting the credits from the debits. If the result is a positive number, the account has a debit balance. If the result is a negative number, the account has a credit balance.
Posting is the process of transferring the information from the journal to the ledger. Journalizing is the process of recording financial transactions in the journal. Accounting is the process of identifying, measuring, recording, and communicating financial information to decision-makers.
Here is a more detailed explanation of each option:
- A. Posting is the process of transferring the information from the journal to the ledger. The journal is a chronological record of all financial transactions. The ledger is a book of accounts that contains all the information about each account, including the account number, the account name, the account balance, and the transactions that have affected the account.
- B. Journalizing is the process of recording financial transactions in the journal. The journal is a chronological record of all financial transactions. Each transaction is recorded in a journal entry, which includes the date of the transaction, the account names involved in the transaction, the amounts debited and credited, and a brief description of the transaction.
- C. Balancing is the process of ascertaining the balance of a particular account on a given date. It is done by adding up all the debits and credits to the account and then subtracting the credits from the debits. If the result is a positive number, the account has a debit balance. If the result is a negative number, the account has a credit balance.
- D. Accounting is the process of identifying, measuring, recording, and communicating financial information to decision-makers. Accounting is a broad field that includes many different sub-disciplines, such as financial accounting, managerial accounting, and tax accounting.