Question

Abnormal loss is equal to​

Answer 1

Answer:

abnormal loss is equal to uncertain loss due to natural

Explanation:

Abnormal Loss

Some losses are accidental or can be caused by carelessness. Example: by theft or loss by fire, flood, earthquake, war, accidents in transit, etc. Such losses are more or less abnormal. Suppose a part of goods is stolen, now this will reduce the value of stock and therefore profit on consignment. Now the best thing is to find out the cost of goods that are lost. After finding out the value, consignment a/c is credited and abnormal a/c is debited and then transferred to profit and loss a/c, so as to arrive at correct profit or loss of consignment.

Some businessmen also take an insurance policy in respect of goods sent or received. Such a policy is obtained only in respect of abnormal loss caused to goods.