Definitions for "Account- Profit & Loss Appropriation"
The format of this account is also prescribed by the IRDA Regulations. This is prepared annually at the end of the year. This shows the appropriations made out of the net profit earned during the year. The appropriations can be dividends, transfer of general reserve or dividend equalization etc. The final balance in the Profit & Loss Appropriation Account is shown in the liabilities side of the balance sheet.