Abhay (1) (123 Points)
04 November 2009Plz tell me the entry for Loss by fire a/c and also tell me
is this entry is correct or not ?
Fire on 29/4/09
A printer has destroyed .
and a new printer has purchased on 31/5//2009
then the entry is
Loss by fire a/c Dr.
To Cash/Bank/ Creditor a/c (New printer purchased)
Plz help me
Thank u
CA Mani
(Credit Analyst)
(2814 Points)
Replied 04 November 2009
Hi
1.For destroying of printer by fire
Loss By fire Dr.
Accumulated Depreciation ..Dr
Bank ( Insurance Claim) Dr.
To Printer Cr.
2. For purchasing new printer
Printer Dr.
To Bank/Cash/Creditor Cr.
BHAGYESH RAVANGE
(C.A Job)
(1528 Points)
Replied 04 November 2009
I agree with the C.A MANINDER
First entry will be applicable if the Printer is stated at cost, so to reduce the accumulated depreciation
In case of w.d.v no need for the entry of Accumulated depreciation entry
CA LOVELY ARORA
(C.A. B.Com (H) Graduate)
(2151 Points)
Replied 04 November 2009
agree with maninder..........
Abhay
(1)
(123 Points)
Replied 04 November 2009
sir if there is no depreciation and insurance claim then
the entry as stated in my query is correct or not?
one of my client have done this entry I think this is wrong entry ? and this should be
1. Loss by fire a/c dr
to Printer (old)
2. printer dr.
to Cash/ Bank/ Creditor
CAclubindia
