Transfer of Loan on Death of Director

In our Pvt Ltd co. Husband and Wife are Directors and both have given loan to company on the death of Wife, loan of Wife transferred to husband in co. books

what entry to be done in the books of directors please explain with heads
Replies (2)
Quick Summary
This discussion addresses the accounting treatment for a loan provided by a director to a private limited company when that director passes away. Specifically, it covers the scenario where the deceased director's loan is transferred to the surviving director. The proposed entry involves debiting the wife's (deceased director's) loan account and crediting the husband's (surviving director's) loan account, thereby increasing the company's liability to the husband and closing the wife's account.

Wife account is debited and Husband Account is credited, by this Loan Liability in case Husband is increased and Wife account is closed.

Experts please revert

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