Account Rules
Type of Accounts Personal A/c Real A/c Nominal A/c Personal Account These accounts types are related to persons. These persons may be natural persons like Raj’s account, Rajesh’s account, Ramesh’s account, Suresh’s account, etc. These persons can also be artificial persons like partnership firms, companies, bodies corporate, an association of persons, etc. For example – Rajesh and Suresh trading Co., Charitable trusts, XYZ Bank Ltd, C company Ltd, etc. There can be personal representative accounts as well. For example – In the case of Salary, when it is payable to employees, it is known how much amount is payable to each of the employee. But collectively it is called as ‘Salary payable A/c’. Rule for this Account Debit the receiver. Credit the Giver. For Example – Goods sold to Suresh. In this transaction, Suresh is a personal account as being a natural person. His account will be debited in the entry as the receiver. Real Acco...