Correct Answer: Easy to understand and leads to grouping of accounts

Solution : The following factors create the requirement for codification: Speed, clarity, unambiguity, effort-saving, form-space-saving, classification-ease, and mechanisation are just a few of the benefits. The metric system should be used whenever practical, to ensure uniform dimensions, for example. Coding should be easy. Code must be distinct.

Hence the correct answer is option 3.