RULES OF ACCOUNTS

Today we will see the rules of accounts:-

1.PERSONAL ACCOUNT:-

   It includes related to the natural & artificial persons. So the rule is

   Dr. The receiver

   Cr. The giver

2. REAL ACCOUNT:-

    It includes related to things, So the rule is

    Dr. What comes in.

    Cr. What goes out.

3. NOMINAL ACCOUNT:-

    It includes all profits & losses of the business

    Dr. All Expenses & losses.

    Cr. All incomes & gains.

    With the help of these three rules of accounts we can mainatain

a proper accounts in business.