Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 37 - No. 19)

Which of the following is the main characteristic of a 'real account'?

Used to record income and expenses.

Represents the owner's investment in the business.

Relates to a personal account.

Permanent accounts that carry balances forward.

Real accounts (assets, liabilities, and equity) carry forward balances.