# Question 36 Chapter 1 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 36 Chapter 1 of +2-A

36. Prepare Income and Expenditure Account from the following Receipts and Payments Account of Delhi Nursing Society for the year ended 31st March 2019:

 RECEIPTS AND PAYMENTS ACCOUNT for the year ended 31st March 2019 Receipts Rs. Payments Rs. To Balance b/d (Cash at Bank) 2,01,000 By Salaries of Nurses 65,600 To Subscriptions 1,11,500 By Board, Laundry and Domestic help 38,000 To Fees from Non-member 27,000 By Rent, Rates and Taxes 20,000 To Government Grant 1,00,000 By Cost of Car 2,00,000 To Donations For building Fund 1,56,000 By Expenses of Car 84,000 To Interest 3,800 By Drugs and Incidental Expenses 67,000 By Balance c/d (Cash at Bank) 1,24,700 5,99,300 5,99,300

The solution of Question 36 Chapter 1 of +2-A

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 Income and Expenditure Account (for the year ended 31st March 2019) Expenditure Amount Income Amount To Salaries of Nurses 65,600 By Subscriptions 1,11,500 9,00,000 To Board, Laundry and Domestic help 38,000 Less: – Donation for Building 10,000 10,000 To Rent, Rates and Taxes 20,000 By Fees from Non-member 27,000 To Expenses of Car 84,000 By Government Grant 1,00,000 To Drugs and Incidental Expenses 67,000 By Interest 3,800 Add: – O/S Amount 12,800 79,800 By Deficit (Balancing Figure) 55,100 2,87,400 2,87,400

Note:

• Opening and Closing balance of Cash Account are assets so it will be transferred to Balance sheets.
• If Donation is got for specific Assets then it will be treated in the Balance sheet. In this question, the donation is received for the Building Fund.
• Cost of Car is also an asset So, it will be treated in the balance sheet.

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