Question

Classify the following accounts into (a) personal accounts, (b) real accounts, and (c) nominal accounts:

1. Building account, 2. Salaries account, 3. Machinery account, 4. Canara Bank account, 5. Shiva's account, 6. Carriage account, 7. Wages account, 8. Outstanding wages account, 9. Purchase account, 10. Sales account, II. Cash account, 12. Stock account, 13. Capital account, 14. Drawings account, 15. Nirmal's account, 16. Malabar Ltd. account, 17. Discount received account, 18. Commission receivable account, 19. Depreciation account, 20.Cochin Stock Exchange account 21. Prepaid insurance account, 22. Furniture 'account, 23. Loan account, 24. Bank overdraft account, 25. Trademark account, 26. Dividend account, 27. Bills Receivable account.​

Answer 1

ANSWER :

• 1. Building account ➺ Real Account

• 2. Salaries account ➺ Nominal Account

• 3. Machinery account ➺ Real Account

• 4. Canara Bank account ➺ Personal Account

• 5. Shiva's account ➺ Personal Account

• 6. Carriage account ➺ Nominal Account

• 7. Wages account ➺ Nominal Account

• 8. Outstanding wages account ➺ Personal Account

• 9. Purchase account ➺ Nominal Account

• 10. Sales account ➺ Nominal Account

• 11. Cash account ➺ Real Account

• 12. Stock account ➺ Real Account

• 13. Capital account ➺ Personal Account

• 14. Drawings account ➺ Personal Account

• 15. Nirmal's account ➺ Personal Account

• 16. Malabar Ltd. account ➺ Personal Account

• 17. Discount received account ➺ Nominal Account

• 18. Commission receivable account ➺ Personal Account

• 19. Depreciation account ➺ Nominal Account

• 20. Cochin Stock Exchange account ➺ Personal Account

• 21. Prepaid insurance account ➺ Personal Account

• 22. Furniture account ➺ Real Account

• 23. Loan account ➺ Personal Account

• 24. Bank overdraft account ➺ Personal Account

• 25. Trademark account ➺ Real Account

• 26. Dividend account ➺ Nominal Account

• 27. Bills Receivable account ➺ Personal Account

___________________________________________________________

MORE TO KNOW :

❒ The classification of Accounts under English Approach or Traditional Approach are as follows :-

• [1] Personal Accounts : Accounts heads pertaining to persons, firms, companies, organizations etc. are called Personal Accounts. Moreover, when any prefix/suffix is used before/after any nominal account head, such accounts also comes under Personal Accounts.

• [2] Real Accounts : Accounts heads recording transactions relating to tangible things which can be seen, touched and have physical shape are known as Real Accounts. Moreover, there are some intangible items which donot have any physical shape and cannot be touched and seen, but there presence can be felt; those items are also comes under Real Accounts.

• [3] Nominal Accounts : Accounts heads recording transactions relating to losses, expenses, incomes and gains are known as Nominal Accounts.

Answer 2

Answer:

1.) Building account - Real Account

2.) Salaries account - Nominal Account

3.) Machinery account - Real Account

4.) Canara Bank account - Personal Account

5.) Shiva's account - Personal Account

6.) Carriage account - Nominal Account

7.) Wages account - Nominal Account

8.) Outstanding wages account - Personal Account

9)Purchase account -Nominal Account

10.) Sales account - Nominal Account

11.) Cash account - Real Account

12.) Stock account - Real Account

13.) Capital account - Personal Account

14.) Drawings account - Personal Account

15.) Nirmal's account - Personal Account

16.) Malabar Ltd. account - Personal Account

17.) Discount received account - Nominal Account

18.) Commission receivable account - Personal Account

19.) Depreciation account - Nominal Account

20.) Cochin Stock Exchange account - Personal Account

21.) Prepaid insurance account - Personal Account

22.) Furniture account - Real Account

23.) Loan account - Personal Account

24.) Bank overdraft account - Personal Account

25.) Trademark account - Real Account

26.) Dividend account - Nominal Account

27.) Bills Receivable account - Personal Account