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Q: What is net loss reserves to surplus ratio?
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What is pure loss ratio?

Ratio of the company's total net paid losses during the current year plus the change in loss reserves since the prior year end to the current year premiums earned.


What factors effect loss ratios?

To explain loss ratio we have to start by the factors included in a loss. The loss factors are: Claims paid plus net reserves plus incurred but not reported (IBNR) plus provision for adverse deviation (PAD) Total them and substract your total with Total recoveries (actual +potential) You now have the total loss. Once we have these factors, we can divide the loss by the earned premium to obtain the ratio.


Advantages and disadvantages of trading profit and loss account?

: Profit and loss account gives the actual information about net profit or net loss of the business for an accounting period, Profit and loss account gives the actual information about indirect expenses, Profit and loss account serves to show the ratio between net profit to sales, Profit and loss account helps in showing the ratio between net profit to operating expenses, Profit and loss account helps in controlling indirect expenses


What is the difference between profit and loss account and profit and loss appropiation account?

Profit and loss accont is used to calculate the profit or loss of business while profit and loss appropriation account is used to allocate or distribute net income or loss to share holders or different reserves account.


How do you calculate the net asset ratio?

Net Asset Ratio = Total Net Assets/Total Assets


What is net social benefit?

The net social benefit is the sum of producer and consumer surplus.


When does a net loss happen?

When does a net loss occur


What is npa ratio?

net npa ratio


How do you calculate net capital ratio?

Net Capital Ratio =Total assets / Total Liabilities


What is journal entry to taking funds to reserve account?

[Debit] Net income account [Credit] General Reserves


What is the net gold loss formula?

formula of "Net Gold loss


Is revaluation surplus included in the cash flow statement?

Revaluation surplus is deducted from net income in case of net cash flow from operations using indirect method as this is not a cash related transaction.