suppose an inventory is under valued by20000 in financial year, what entry would i pass in next financial year to rectify the same.Kindly help me with the accounting entry.
Menu
Inventory entry
Replies (4)
agree with deepesh
In the case, closing stock is undervalued and profit is booked short of actual.
So, on the first day of the next FY, pass the following entry;
Inventory A/c Dr
To P & L A/c
This increases both profit and stock value.
| Originally posted by : Deepesh | ||
 |
In the case, closing stock is undervalued and profit is booked short of actual. So, on the first day of the next FY, pass the following entry; Inventory A/c Dr To P & L A/c This increases both profit and stock value. |
 |
Hi,
Can anybody explain me above "GRN Accounting or Import Accounting".
Recent Topics :
- NRI since March 2023 – resident savings acco
- My All-Time Top 15 Indian Web Series
- Wrong date of invoice
- Paper 6 - IBS
- Chhath Puja 2026 Dates Timing Tithi
- Tax Benefit on Second Property
- IPO application checklist: 18 rules that decide wh
- NSE IPO Price, GMP, Allotment Date and Listing
- Gst tax rate
- Cash deposited by customer
Related Topics :
CAclubindia
