Multiple choice

What type of account is a joint venture account?

  1. Personal account

  2. Real account

  3. Nominal account

  4. None of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A Joint Venture account is a Nominal account because it records gains, losses, and expenses related to a temporary business venture. It captures the profit/loss outcome of the joint venture, similar to how Profit and Loss account works. It doesn't represent an asset (Real) or a person (Personal) - it measures the venture's financial result.

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