What are three goldan rools of account

Question

Accepted Answer

The three golden rules of accounting are the basis of recording financial transactions accurately.

The first rule is the Personal Account, which deals with transactions related to individuals or organizations.
The second rule is the Real Account, which deals with transactions related to assets, liabilities, and capital.
The third rule is the Nominal Account, which deals with transactions related to expenses, incomes, gains, and losses.
These rules help in maintaining the accuracy and consistency of financial records.
For example, if a company purchases a new machine, it will be recorded under the Real Account rule as it is an asset.
Similarly, if a company pays rent, it will be recorded under the Nominal Account rule as it is an expense.
Following these rules ensures that financial statements are prepared correctly and provide an accurate picture of the company's financial health.

Accepted Answer

Debit the receiver, credit the giver: This rule applies to personal accounts. The person who receives something is the receiver and is debited, while the person who gives something is the giver and is credited. 
 
Debit what comes in, credit what goes out: This rule applies to existing accounts. 
 
Debit all expenses and losses, credit all incomes and gains: This rule applies to nominal accounts. 
 
These rules are the basis of double-entry accounting and help ensure that financial transactions are recorded accurately and consistently. They also help to maintain the integrity of financial records.

Accepted Answer

three main rules of accounting: Debit the receiver and credit the giver.

What are three goldan rools of account

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