john (LEARNER) (549 Points)
14 January 2011company Bike (Fixed Asset) got damage in an accident. insurance had been paid for the same duly,
company claims insurance amount form the insurance co.
please suggest entries with sub heading/group
a) entry while claiming insurance and b) entry when the claim is received.
thank you
Shweta Bansal
(CA)
(175 Points)
Replied 14 January 2011
At the time of claiming insurance, the entry to be passed is:
Insurance receivable A/C Dr
Loss A/C Dr
To Asset A/c
At the point of Insurance received; the entry would be:
Cash/Bank A/c Dr
To Insurance receivable A/C
In case there is a deficet amount received in actual it need to be adjusted through P/L. A/C.
Manmohan ACA, CS
(Chartered Accountant )
(14243 Points)
Replied 14 January 2011
| Originally posted by : Shweta | ||
 |
At the time of claiming insurance, the entry to be passed is: Insurance receivable A/C Dr Loss A/C Dr To Asset A/c At the point of Insurance received; the entry would be: Cash/Bank A/c Dr To Insurance receivable A/C In case there is a deficet amount received in actual it need to be adjusted through P/L. A/C. |
 |
agree
CAclubindia
