on 03-13-2007 5:41 AM
dear sap gurus
client got an asset book value 900
depreciation 100
has got an insurance claim for 500
wants to post this income from insurance against asset
the entry he wants is
loss on scrap 400
insurance claim 500
asset 900
pleae provide the solution
Hi,
Assuming the opening balance as 800 [ 900-100],the entry should be:
1]Insurance Recievable Dr 500
To Insurance [ Revenue] Cr 500.
Create subledger accts a/c appropriately and post them.
2].Upon reciept of the claim;
Dr.Bank 500
Cr.Insurance Recievable 500.
3]
Loss on disposal/W.off 800 [ P& L-Expenditure a/c;If you have already defined acct.determination,posting will go to this a/c.Otherwise create a subledger and post.]
To Asset a/c 800.[ credit the Asset in the usual way]
The loss on the Asset and the insurance claim are altogether two different transactions.If you dibit Insurance [ as you have done],this will mean to be an expense /loss and thus a charge on the income;on the contrary the insurance is a gain here.
Hope this helps.
Regards,
Ramesh.
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
Hi
I feel you will have to assign G/L account for loss on scrap in AO90. and then post in ABAVN
pushkaraj
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
User | Count |
---|---|
88 | |
8 | |
7 | |
5 | |
4 | |
3 | |
2 | |
2 | |
2 | |
2 |
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.