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Which of the following types of accounts are transferred to the Trading and Profit and Loss Account?
  • a)
    Real accounts
  • b)
    Prepaid expenses
  • c)
    Accrued incomes
  • d)
    Outstanding liabilities
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Which of the following types of accounts are transferred to the Tradin...
Nominal accounts, such as accrued incomes, are transferred to the Trading and Profit and Loss Account. Accrued incomes are incomes earned in the current year but not yet received. They are credited to the Profit and Loss Account to ensure accurate representation of the company's financial performance for the period.
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Which of the following types of accounts are transferred to the Trading and Profit and Loss Account?a)Real accountsb)Prepaid expensesc)Accrued incomesd)Outstanding liabilitiesCorrect answer is option 'C'. Can you explain this answer?
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