Question 11 Chapter 1 of +2-A - T.S. Grewal 12 Class Part

Question 11 Chapter 1 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

By Shubham Sharma 5 Min Read September 8, 2022

Question No.11 - Chapter No.1 - T.S. Grewal +2 Book Part-A 2019-Solution-min-min

Question 11 Chapter 1 of +2-A

Table of Contents

The solution of Question 11 Chapter 1 of +2-A: –

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

Entrance Fees

11. How is Entrance Fees dealt with while preparing the final accounts for the year ended 31st March 2019 in each of the following alternative cases?

Case I During the year ended 31st March 2019, Entrance Fees received was Rs 1,00,000.

Case II During the year ended 31st March 2019, Entrance Fees received was Rs 1,00,000. Out of this, Rs. 25,000 was received from individuals whose membership is not yet approved.

The solution of Question 11 Chapter 1 of +2-A: –

Case I

In the Books of __________________
Income and Expenditure Account
Expenditure	Amount	Income	Amount
		By Entrance Fees	1,00,000

Note: – In this case, Entrance fees will be credited to the Income and Expenditure Account because it is our revenue receipts.

Case II

In the Books of __________________
Income and Expenditure Account
Expenditure	Amount	Income	Amount
		By Entrance Fees	75,000

In the Books of __________________
Balance Sheet
Liabilities	Amount	Assets	Amount
Entrance Fees	25,000

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Note: – In this case, Entrance fees will be credited to the Income and Expenditure Account to the extent which is received from members and Balance will be created as a liability because they are not our members till day so they can ask for a refund of that amount.