Goods stolen at the branch is debited to
-
A.
Defalcations account -
B.
Branch stock account -
C.
Branch adjustment account -
D.
Branch debtors account
Correct Answer: Option A
Explanation
Defalcation predominantly refers to the theft, misuse or misappropriation of money or funds held by an official trustee, or other senior-level fiduciary. In this regard a defalcation account will be opened to record the stolen goods.