Question

Loss of material by fire is
debited to​

Answer 1

Loss by fire is debited to profit and loss a/c.

Explanation:

As the loss of material by fire is a revenue loss not a capital loss, some business man also took insurance policy for their stock because major proportion of their operation deals in stock , so the insurance claim will be  credited to trading account .

so according to your question the loss of material by fire will be debited to profit and loss a/c because its a revenue generating activity , so its loss also get debited to it .

journal entry -

profit and loss a/c        Dr.

   To loss by fire a/c.