Question

What do you prepare a deficiency account? What are its contentswhat do you prepare deficiency account what are its content ​

Answer 1

When company become insolvent deficiency accounts is prepared . This account shows the reason of company deficiency .A company deficiency is because of losses ,decrease in the value of assets or any other such reasons. This account is not made on double entry system but it is statement of simple calculation.

Answer 2

Explanation:

When company become insolvent deficiency accounts is prepared . This account shows the reason of company deficiency . A company deficiency is because of losses ,decrease in the value of assets or any other such reasons. This account is not made on double entry system but it is statement of simple calculation.