Which of the following is considered as a disadvantage of double account system?
(i) Since all assets are recorded at cost and not at written down value, the balance sheet does not reflect the true position.
(ii) A proper distinction between revenue expenditure and capital expenditure is not possible under this system.
(iii) It is not always possible for common people to understand accounting statements and forms.
1
(ii) and (iii)
2
(iii) and (i)
3
(i), (ii) and (iii)
4
(i) and (ii)