There is a nice blog post bu IOG: [Cardano’s Extended UTXO accounting model – built to support multi-assets and smart contracts][1] that discusses the difference between two models.

For a more in depth comparison, I recommend the [UTxO- vs account-based smart contract blockchain programming paradigms][2] paper.


To sum UTXO up:

 - A UTXO is the output of a previous transaction, which can be spent in
   the future 
- UTXO chains have no accounts. Instead, coins are stored as
   a list of UTXOs, and transactions are created by consuming existing
   UTXOs and producing new ones in their place 
- Balance is the sum of
   UTXOs controlled by a given address 
- UTXOs resemble cash in that they
   use ‘change’, and are indivisible (UTXOs are used whole)

To sum up the Account/Balance model:

- This accounting model resembles how a bank operates
- Users have accounts that hold their coin balance
- It is possible to spent partial balances
- The concept of change does not apply

  [1]: https://iohk.io/en/blog/posts/2021/03/11/cardanos-extended-utxo-accounting-model/
  [2]: https://arxiv.org/pdf/2003.14271.pdf