Does a purchase go under real or nominal account?
submitted by govind

hankenstein

A purchase goes under a nominal account. Specifically you'd record it as an expense in the income statement. It's not a real account because real accounts usually relate to assets or liabilities, whereas purchases are expenses that affect profit and loss.

good_smellums

Purchases go in the nominal accounts because they are expenses. Real accounts are for things like assets or liabilities, but since buying inventory or goods reduces profit, it's an expense on the nominal side.