Office equipment’s account is classified as A. Nominal accounts B. Real account C. Cash account D. Capital account

Nominal accounts
Real account
Cash account
Capital account

The correct answer is B. Real account.

A real account is an account that represents an asset, liability, or equity of a company. Office equipment is an asset, so its account is a real account.

A nominal account is an account that represents revenue, expense, or gain/loss of a

company. These accounts are closed at the end of the accounting period and their balances are transferred to the retained earnings account.

A cash account is a real account that represents the cash on hand and in the bank of a company.

A capital account is a real account that represents the owner’s equity in a company.

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