Multiple choice

Which category of accounts is Rotary Club classified under?

  1. Real account

  2. Natural personal account

  3. Representative personal account

  4. Artificial personal account
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Any non trading organisations, companies, government organisations are all examples of artificial personal accounts. Real accounts are concerned with tangible/intangible items such as furniture, machinery, goodwill etc. Natural personal accounts are Madhav's, Divesh's and Radha's account etc. Representative personal accounts include outstanding expenses, capital account etc.

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