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Are Person Accounts compatible with Account Hierarchies?

  1. True, for all account types

  2. False, they do not support Account Hierarchies

  3. True, but only with external accounts

  4. False, they can only have direct relationships with other accounts

The correct answer is: False, they do not support Account Hierarchies

Person Accounts in Salesforce are a special type of account that combines features of both accounts and contacts, primarily used for B2C (business-to-consumer) scenarios. They represent individuals rather than businesses. The concept of Account Hierarchies is designed to define relationships between different business accounts to create a visual representation of the corporate structure. However, Person Accounts do not fit into the traditional Account Hierarchy framework. They cannot be placed into hierarchical structures with other accounts, meaning that person accounts are treated separately and cannot be parent or child accounts within the hierarchy. Hence, they lack the ability to support complex hierarchical relationships that exist among business accounts. This understanding clarifies why the choice stating that they do not support Account Hierarchies is accurate, as it highlights the fundamental difference in how Person Accounts operate compared to standard business accounts.