Question

Goods destroyed by fire 20000. Insurance company admitted the claim 85% and the claim was received.

Answer 1

Answer:

good destroyed in fire a/c 20000

to puchases a/c. 20000

(being goods destroyed in fire )

insurance co. a/c. 20000

to goods destroyed in fire a/c 20000

(being insurance claim filed )

bank a/c. 17000

goods destroyed in fire 3000

to insurance co. a/c 20000