Claim amount received from the insurance company

512 views 2 replies
Dear Experts,

1. A theft happened in a company place and lost the stock in trade.

2. At that time, it was observed the insurance claim amount will cover the cost of the stolen goods.

3. Later period ( in the next financial yaar) the claim amount received from the insurance company is less than the expected claim amount.

Example for recognised journal entries

FY 2021-22

a. Lost on theft A/c Dr Rs. 50,000.00
Insurance Company A/c Rs 550000.00
To Purchase A/c RS 6,00,000.00


P&L A/c Dr Rs 50,000.00

To Lost on Theft A/c Rs 50,000.00



B. FY 2022-23

Bank A/c Dr Rs 475000.00

To Insurance Company A/c Rs 475000.00.



Query :


Loss due to theft during FY 2021-22 A/"c Dr Rs 75000.00
To Insurance Company A/c Rs 75, 000.00


Is this accounting entry os correct or not?
Replies (2)

What is the pilferage amount and how much did the insurance company gave?

Is there any document received from Insurance Company regarding suppose to receive 550000/- in the year 21-22 to record  the transaction   in the books of accounts . 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 24 June 2026
HEAD - AUDIT AND TAXATION

A R JADHAV AND ASSOCIATES

Mumbai

CA Inter

View Details
Company
06 July 2026
Accountant

Agarwal Anoop and Associates

Noida

CA Final

View Details
Company
ARTICLESHIP 30 June 2026
Article Assistant or Paid Assistant

VIKAS VERMA & CO

New Delhi

Others

View Details
Company
25 June 2026
AUDIT MANAGER

JDAS & ASSOCIATES

New Delhi

CA

View Details
Company
ARTICLESHIP 28 June 2026
Article Assistant

Sharma Chetan And Company

Gurgaon

CA Inter

View Details
Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
22 June 2026
Accountant

Global Image Technologies Private Limited

New Delhi

MBA

View Details
Company
ARTICLESHIP 30 June 2026
2 posts Article assistant and Articleship completed students

Chirag N Shah & Associates

Mumbai

CA Inter

View Details