![Mcqmate logo](https://mcqmate.com/public/images/logos/logo-black.png)
![Mcqmate logo](https://mcqmate.com/public/images/logos/logo-white.png)
McqMate
Q. |
Goods in stock worth ` 800 are destroyed by fire and the Insurance Co. is accepted the claim for ` 600. Adjustment would involve: |
A. | Debit of ` 800 to Trading Account and credit of ` 600 and ` 200 to insurance company and Profit and Loss Account respectively |
B. | Deduct the ` 800 from closing stock in the Trading Account |
C. | Credit insurance company for ` 600 |
D. | Debit of ` 600 and ` 200 to insurance company and Profit and Loss Account respectively and |
Answer» D. Debit of ` 600 and ` 200 to insurance company and Profit and Loss Account respectively and |
View all MCQs in
Financial AccountingNo comments yet