INSURANCE CLAIMS

Q:1

Fire occurred in the premises of Gharib Das on 1st april,2014 and a

considerable part of stock was destroyed. The stock salvaged was
56000/-. A fire insurance policy for 342000/- was taken to cover loss of
stock by fire. Ascertain the claim to be lodged with the insurance
company from the foll particulars:

Purchases for 2013 18,76,000 Stock on Jan 1,2013 2,88,000

Sales for 2013 23,20,000 Stock on dec31,2013 4,84,000

Purchases from Jan Wages paid during year

1,2014 to Apr 1,2014 3,64,000 2013 2,00,000

Sales from Jan1,2014 to Wages paid during

April1,2014 4,80,000 Jan1,2014 to April 1,2014 36,000

Fire also broke out on 21st DEC, 2013 and destroyed stock of estimated
cost of 1,00,000.

There was a practise in the concern to value stock at cost less 10%,but
all of a sudden this practise was changed and stock on 31st DEC,2013
was valued at cost plus 10%.

Q:2

On 25th June,2014 a fire broke out in the premises of Unlucky Co. All
stocks were destroyed except some which were partly damaged and
sold subsequently for 7900.
From the following particulars ascertain the claim to be submitted to the
insurance company assuming that the policy was 20,000/-.

Stock as on 1st Purchases during the 1,53,500

Jan,2014 24,400 year 2013

Purchases upto the Sales during the year

date of fire 73,000 2013 1,96,500

Sales upto the date of Stock as on 1st Jan,2013 18,500

fire 97,000

The stock as on 1st Jan,2013 included a special item valued 5600/-

which was sold at a profit of 20% on sales. A part of this item was sold in
2013 while the balance was sold on 3rd May,2014 for 2500/-. Except for
this item , GP on all other items were at a uniform rate throughout the
period.

Q:3

On 1st July,2014 a fire took place in the godown of Ram Kumar which
destroyed all stocks. Calculate the amount of insurance claim for stock
from the following details:

Sales in 2012 2,00,000 Stock as on 1-01-2014 3

GP in 2012 60,000 Purchases from 1-01-

2014 to 30-6-2014
Sales in 2013 3,00,000
Sales from 1-01-2014 to
GP in 2013 60,000 30-6-2014