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Relations Between Account As Per Traditional Approach and Account As Per Modern Approach
Relations Between Account As Per Traditional Approach and Account As Per Modern Approach
a) Personal Account
b) Real Account
c) Nominal Account
In Accounting, there are 5 types of accounts as per Modern approach/ American Approach.
Difference Between…….
1. An account which is Personal as per traditional approach, that account may be Asset A/c or Liability A/c or
Capital A/c as per modern approach
Examples
2. An account which is Real as per traditional approach, that account must be Asset A/c as per modern approach
Example
Example