What does the chart of accounts include?

• A. Assets, Liabilities, Owner's Equity, Revenue, and Expenses
• B. Assets, Liabilities, and Revenue
• C. Assets and Liabilities only
• D. Assets, Liabilities, Owner's Equity, and Cash

Answer: (A)

The chart of accounts is a complete listing of all accounts a business uses to record its transactions, organized into five broad groups: assets, liabilities, owner's equity, revenues, and expenses. This structure covers what the business owns, what it owes, who has a claim on it, and the flows of income and costs. The option that includes all five groups best represents a full chart of accounts, since it accounts for assets (like cash, inventories, accounts receivable), liabilities (like loans and payables), owner’s equity, revenues, and expenses. The other options miss one or more essential areas—for example, excluding expenses or treating cash as its own top-level category rather than simply an asset within the assets group—so they don’t reflect a complete COA.