Financial Statement with Adjustment-Loss of Insured Goods & Assets (All three cases)
For the smooth running of any business, it must have the required amount of goods. These goods may or may not be insured by the firm against any risk of loss. Loss can occur due to fire in the godown, any theft might take place or these goods may be lost in an accident. In case these goods have been insured by the firm against any risk of such loss, then on an investigation, it might receive some or a full amount of compensation from the insurance company in respect of the loss that has been incurred. This procedure…