The terms real accounts is similar to permanent accounts.

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Multiple Choice

The terms real accounts is similar to permanent accounts.

Explanation:
Real accounts refer to permanent accounts that carry their balances forward from one period to the next. They appear on the balance sheet as assets, liabilities, and owners’ equity, and they’re not closed at the end of the period. Because they persist across periods, the term real accounts is effectively the same as permanent accounts. Revenue and expense accounts, on the other hand, are temporary and are closed each period, which is why they don’t fit the description. So the statement is true.

Real accounts refer to permanent accounts that carry their balances forward from one period to the next. They appear on the balance sheet as assets, liabilities, and owners’ equity, and they’re not closed at the end of the period. Because they persist across periods, the term real accounts is effectively the same as permanent accounts. Revenue and expense accounts, on the other hand, are temporary and are closed each period, which is why they don’t fit the description. So the statement is true.

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