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Claim received against damage

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Querist : Anonymous

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Querist : Anonymous (Querist)
09 September 2014 Party has received claims against goods damaged. Suppose Claim received is Rs 18,00,000 against goods damaged of Rs 20,00,000. What will be the treatment and journal entry?
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Rohit

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Rohit (Expert)
09 September 2014 Bank A/c.....Dr 18L
P/L A/c......Dr 2L
To Goods destroyed by fire A/c.... 20L

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