"that unaccounted accrued income Rs. 500 be provided for ." what does this statement mean and what should be the treatment of this statement in revaluation account ?
Dear Student,
This statement implies that there is an accrued income of Rs 500 which was not recorded or accounted by the firm. Now this amount of income is to be provided. Being an income for the firm, this amount is to be shown on the credit side of Revaluation Account. It is also required to be shown on the Asset side of the Balance Sheet.
Hope this answers your query.
Keep Posting!!!
This statement implies that there is an accrued income of Rs 500 which was not recorded or accounted by the firm. Now this amount of income is to be provided. Being an income for the firm, this amount is to be shown on the credit side of Revaluation Account. It is also required to be shown on the Asset side of the Balance Sheet.
Hope this answers your query.
Keep Posting!!!