Inventory problem

Opening + Purchases – Closing stock = cost of goods sold

Closing Stock = opg.+purch-cogs

clg.stock = 80000+160000-[loss due to fire+150000] (200000*100/133.33)

                 =80,000+1,60,000-[10,000+1,50,000]

                 =Rs.80,000

the cost of goods sold = 2,00,000*100/133.33 = 1,50,000

closing stock is 80,000 + 1,60,000 - 1,50,000 - 30,000 (goods lost through fire) = 60,000

The mistake in the above answer is he netted the goods lost in fire with insurance claim the correct treatment is to subtract the goods lost in fire from closing stock. now the goods lost in fire are credited to trading A/c i.e. 30,000 to trading a/c and debit 10,000 as loss through fire to profit/loss a/c

The first answer is wrong . Wat Tejaswi ji done is correct treatment . Pls note it .