Question

what is royalty accounts

Answer 1

Payment made by the lessee on account of a royalty is normal business expenditure and will be debited to the Royalty account. It is a nominal account and at the end of the accounting year, balance of Royalty account need to be transferred to the normal Trading and Profit & Loss account.

Answer 2

Answer:

Royalty is an amount paid by a third party to an owner of a product or patent for the use of that product or patent.