Answer / sudhakar aduri

Reserve account created to offset changes in the value of a
firm's assets. Examples are accumulated depreciation and
allowance for bad debts. Also called valuation reserve.

A reserve account will be created to cancle an entry that
account is called Valuation Account

Answer / zia

Item offset against or added to the gross amount of an
account to arrive at a net balance. Examples are the
allowance account that is subtracted from trading
securities to reduce cost to market value, allowance for
uncollectible accounts that is netted against accounts
receivable, accumulated depreciation that is deducted from
the fixed asset, or bond premium that is added to bonds
payable.

Answer / prasad

valuation of accounts is nothing but realisatin value for
future which value depreciated /appreciate at certain future
period, with that realised value or orginal cost will be
valued for an asset - " Valuation of Accounts" with GAAP
analysis- Accounting standards - the valuation will be
considerd.

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