In the third chapter 15th question, what if ₹7600 came on the credit side of the revaluation? Will it effect the journal entry in anyway? Please tell me what will be the journal entry then asap!
Dear Student,
In this question, there is a profit on revaluation of Rs 7,600 but if there is a loss on revaluation of Rs 7,600 then the entry passed (Z 's Capital A/c Dr 760 X's Capital A/c 760) will be reversed. New entry in the case of loss of Rs 7,600 is:
X's Capital A/c Dr 760 Cr. Z's Capital A/c 760
Regards
In this question, there is a profit on revaluation of Rs 7,600 but if there is a loss on revaluation of Rs 7,600 then the entry passed (Z 's Capital A/c Dr 760 X's Capital A/c 760) will be reversed. New entry in the case of loss of Rs 7,600 is:
X's Capital A/c Dr 760 Cr. Z's Capital A/c 760
Regards