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Standard XII
Accountancy
Question

Bills Receivable A/c is _________.
  1. Personal A/c
  2. None of the above
  3. Nominal
  4. Real A/c

A
Nominal
B
None of the above
C
Personal A/c
D
Real A/c
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Solution
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There are mainly three types of account: Real, Personal and Nominal accounts. Personal accounts are classified into three subcategories: Natural, Artificial and Representative. Bills Receivable and Bills Payable are personal accounts. Both these accounts represent debtors and creditors of a particular entity. The rule of personal account is Debit the receiver, Credit the giver. Suppose when Bills Receivable is issued, its debited because that represents debtor from whom money is receivable. In a way the entity has given those debtors a benefit i.e. credit so as per the rule Bills Receivable A/c is debited. Hence, bills receivable is a personal a/c.

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Similar Questions
Q1
When Consignor discounts the bills receivable with bank, then which of the following entry will be passed in the books of Consignor?
A.Consignment A/c
Discount A/c
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A.Bank A/c
Profit & Loss A/c
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C.Bank A/c
Consignment A/c
To Bills Receivable A/c
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D.None of the above.

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Q2

Bills Receivable is a:


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Q3
Bills Receivable A/c is _________.
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Q4
Bills receivable account is a/an ___________.
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Q5
Bills Receivable Book is a part of the ___________.
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