Step Two of the accounting cycle requires that we record transactions in a record called a journal.  True False

Statement Evaluation

1. Understanding the Accounting Cycle
   The accounting cycle is a series of steps that businesses follow to identify, analyze, and record financial transactions. Step Two specifically involves recording these transactions.

2. Identifying the Process
   In accounting, after identifying financial transactions (Step One), the next step is indeed to record these transactions systematically in a journal.

3. Conclusion
   Given the definition and understanding of Step Two in the accounting cycle, the statement is accurate.

Final Answer

True. Step Two of the accounting cycle requires that we record transactions in a record called a journal.