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If the acceptor becomes insolvent, the drawer debits their account to reflect the loss incurred due to the dishonor of the bill of exchange. This helps in recording the financial impact of the acceptor's insolvency on the drawer's account.

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1y ago

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When acceptor becomes insolvent then which account drawer debits?

When an acceptor becomes insolvent, the drawer of the bill of exchange typically debits the "Bills Receivable" account to reflect the loss of the expected payment. Additionally, the drawer may also record a debit to a "Loss on Bad Debts" or "Provision for Doubtful Debts" account, depending on their accounting policies. This entry acknowledges the default on the bill and adjusts the financial records accordingly.


Meaning of fictitious bill?

A bill in which the drawer or the payee or both are non existent. In such case the drawee or the acceptor is liable to pay the due amount to the holder in due course. The onus to prove that the drawer is fake lies on the endorsee. He can prove it by proving that the signature of drawer and first endorser are the same.


30 reasons for dishonouring of check?

When the customer has died and the bank has notice of his death.Where the customer has become insolvent or an order of adjudication has been passed against him.When the bank has received an order from the court prohibiting payment out of the funds belonging to the customer.When a customer becomes a lunatic and the banker has got notice of his insanity.Where the drawer countermands payment.When the customer has not got sufficient funds with the bank and there is no overdraft arrangement.Where there are material alterations or signatures of the drawer or endorses are irregular.When the drawer has closed his account prior to the presentation of cheque.When a cheque is mutilated.


What is box or drawer for keeping money and take away one letter?

A box or drawer for keeping money is typically referred to as a "cash box" or "cash drawer." If you take away one letter from "cash," it becomes "ash," which refers to the residue left after burning something.


Dave is offered a raise if he can increase his weekly productivity by 24 If Dave works a six day week how much does he need to increase his productivity each day?

Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer Dish...Drawer


What are synonyms for bottom drawer?

the last drawer the final drawer


Did Terri reveal she isn't pregnant on glee?

No, she didn't reveal her secret because Will found her pregnancy pad in her drawer. He becomes angry and walks out.


Can you please tell me where I can find the drawer in drawer feature in this furniture piece?

The drawer in drawer feature in this furniture piece can typically be found by pulling out the main drawer and looking for a smaller drawer inside it.


The book or the pen is in the drawer or are in the drawer?

is


How can I make a sliding drawer for my furniture?

To make a sliding drawer for your furniture, you will need to measure the dimensions of the drawer opening, cut wood pieces to create the drawer box, attach drawer slides to the sides of the drawer box and inside of the furniture, and then slide the drawer into place. Make sure to test the drawer for smooth movement before finalizing the installation.


How do remove a drawer from a silverline two drawer filing cabinet?

To remove a drawer from a Silverline two-drawer filing cabinet, start by fully extending the drawer. Look for release clips or levers on both sides of the drawer glides; these may need to be pressed or pulled to unlock the drawer. Gently lift the front of the drawer while simultaneously pulling it outwards. Once the clips are disengaged, the drawer should slide out easily.


Was M.C. Escher a drawer or a painter?

Drawer