Usage of Term "UNEXPIRED INSURANCE" in accounting
Hello,
I would like to ask that in accounting language what does the term unxpired insurance signify, if it is giving in trial balance.
while preparing the final account an adjustment entry of insurance has been given which is as under,
1. during the year goods of the value of Rs. 800 destroyed by fire & insurance company admits a claim of Rs . 600 only.
now my question is what is the adjustment entry of above transaction in trading A/c, in Profit & loss A/c & In Balance sheet, if Rs. 600/- insurance is also given in trial balance,
& what is the net effect of such transaction in all the above A/c.