What is a permanent account? On which financial statement are permanen

QUESTION

What is a permanent account? On which financial statement are permanent accounts reported?
Answer: Accounts are classified into two categories astemporary accounts and permanent accounts. Temporary accounts are periodic accounts and close by transferring to income statement at the end of period while permanent accounts are not closed by transfer to income statement rather these accounts are carried to subsequent period. Real and personal accounts are classified as permanent accounts.

se accounts are not getting closed at period end and are carried to subsequent period. Few of these accounts closed on completion of accounting cycle loop or circle while some accounts are carried indefinitely like equity. These accounts are reported on balance sheet.

ANSWER:

CLICK REQUEST FOR  AN EXPERT SOLUTION