Difference among personal or real account or nominal account
What is the difference among personal or real account and nominal account?
Expert
The total business transactions are classified into three. They are as illustrated:
• Transactions associated to persons • Transactions associated to Things • Transactions associated to incomes and expenditures In accountancy we have three kinds of accounts they are: personal, real and nominal.
The personal account refers to all the transactions associated to the natural persons, artificial persons and representative person’s example: Rama, Ravi, XYZ bank, outstanding rent.
A) First category of transactions fits in to the personal accounts
Rule: A real account comprises things in the business that is possessions.
Debit the receiver and then credit the provider.
B) Second category of transactions associated to: Real accounts example: machinery, buildings, cash and so on.
Rule: Debit that comes in and credit and what goes out
C) The Nominal accounts comprise all the transactions associated to the expenditures, incomes, losses and gains. Example: rent received, rent paid, bad debts, and gain on sale of an asset.
Rule: Debit of all expenses and losses and credit all incomes and gains.
Write some of the functions of Bank?
What is Creditor's Equity. Also write down its formula.
The stock is recorded at the book value of debt. The convertible debt is removed at the book value, the number of share times par is added to the stock account, and the remaining amount is plugged in to additional paid in capital. Contrast with the market value in whi
Margin Improvement: Margins in the business remained beneath pressure, even previous to the economic downturn for the industry as an entire, returns on capital have continued under the cost of capital. Previous to the falls in the second half of the y
How to do income statement = from the revenues we will deduct all the expenses related to that period to get the income or loss. When the revenues are more than the expenses then it is income and when the expenses are more than the revenues then it is
Explain, how does deposit-loan rate spread within the Eurodollar market as compared to the deposit-loan rate spread in domestic U.S. banking system and why?
What is Purchase. Briefly state the definition of it?
Explain the term Brokering Creativity in Creative industry ?
Describe the term Holding Period?
Discuss the Vernon’s product life-cycle theory of the FDI. Specify the strength and weakness of theory?
18,76,764
1926790 Asked
3,689
Active Tutors
1420805
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!