suppose an inventory is under valued by20000 in financial year, what entry would i pass in next financial year to rectify the same.Kindly help me with the accounting entry.
Menu
Inventory entry
Replies (4)
agree with deepesh
In the case, closing stock is undervalued and profit is booked short of actual.
So, on the first day of the next FY, pass the following entry;
Inventory A/c Dr
To P & L A/c
This increases both profit and stock value.
| Originally posted by : Deepesh | ||
 |
In the case, closing stock is undervalued and profit is booked short of actual. So, on the first day of the next FY, pass the following entry; Inventory A/c Dr To P & L A/c This increases both profit and stock value. |
 |
Hi,
Can anybody explain me above "GRN Accounting or Import Accounting".
Recent Topics :
- How Do CA Firms Manage Client Document Collection
- How do CA firms manage pending client documents du
- How to find a good CA
- Rcm on rent paid
- Clarify on GST Application
- Residential status for overseas students visitin
- Capital Gains Tax
- LTCG 112A and business loss
- FAST-DS 2026 applicability: foreign employee share
- NRI Property Sale in India: TDS Rates and Key Comp
Related Topics :
CAclubindia
