Question

all accounts are divided into five categories state true or false​

Answer 1

I hope its true, ,

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Answer 2

It is a false statement. There are three types of accounts: Real, Personal, and nominal.

Explanation:

• The statement is false.
• While maintaining bookkeeping entries we have to make sure that the entries go according to the nature of the account.
• There are three broadly classified accounts.
• These accounts are namely real, personal, and nominal accounts.
• A personal account refers to that account that relates to an individual or a company.
• Real accounts refer to that account that relates to the asset, possessions, and properties.
• Whereas, nominal accounts relate to expenses, profits, income, and losses.