Financial Accounting : Types of Accounts ~ Accountancy and Accounting Formulas
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Monday, August 12, 2013

Financial Accounting : Types of Accounts












Personal Account:  It deals with accounts of individuals like creditors, debtors, bank, etc.  It shows the balance due to these individuals or due from them on a particular date.

Real Account:  It presents assets like plant and machinery, land and buildings, goodwill, etc. as on a particular date, this account shows the worth of the asset.


Nominal Account:  It consists of different types of expenses or incomes or loss or profit.  These accounts show the amount of income earned or expenses incurred for a particular period say a month, a year, etc.

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