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Give an accounting treatment for
Investment made worth 100 today,after 6months its value is
60.

Answer Posted / badari

When we purchase the investments the entry will be

Investments A/C.......Dr 100
To Bank A/C........... 100


After six months the value of investment if Rs 60 entry will be

Bank A/C................Dr 60
P&L A/C.................Dr 40
To Investment A/c..............100

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