Insurance Claim Journal Entry
An asset of Mr. X's was destroyed by fire on 1.08.09. the following particulars are ascertained from the book and records:
- Stock at count as on 31.3.08 rs.18948
- Stock at cost on 31.3.09 rs. 9660
- Purchases during the year rs. 29550
- Sales during the year rs. 47160
- Purchases from 1.04.09 to 1.8.09 rs.38460
- Sales from 1.04.09 to 1.8.09 rs.42360
In valuing the stock as on 31.3.09, goods to the value of rs. 1110 was written off as damaged. But this had been sold during the period of 1.4.09 to 1.08.09, for rs. 660. Apart from this transaction, the rate of gross profit has remained unchanged during the entire period of 1.4.09 to 1.08.09.
(rs. = Rupees = Indian currency)Required:
Journalize the insurance claim.