Question 38 Chapter 1 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 38 Chapter 1 of +2-A-min

Question 38 Chapter 1 of +2-A

38. From the following Receipts and Payments Account of Jaipur Sports Club, Prepare Income and Expenditure Account 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)   2,00,000 By Rent  60,000
To Entrance Fees:       (including Rs. 15,000 for 2017-18)  
     2017-18 10,000   By Insurance Premium 60,000
     2018-19 50,000 60,000 (including Rs. 15,000 for 2019-20)  
To Subscriptions:     By Sports Equipment’s 50,000
     2017-18 10,000   By Furniture 60,000
     2018-19 (90%) 90,000   (Purchased on 31st March 2019)  
     2019-20 5,000 1,05,000 By 8% Fixed Deposit  1,20,000
To Life Membership Fees   20,000 (Made on 1st October 2018)  
To Donations   1,20,000 By  Tournament Expenses 10,000
To Donations For Tournament   50,000 By Books 20,000
To Subscriptions for Governor’s Party   15,000 By Newspapers 1,000
To Interest on 8% Fixed Deposit   2,400 By Printing and Stationery 19,000
To Sale of Old Newspapers    300 By Balance c/d  1,80,000
To Sale of Old Sports Materials   500    
     (Book Value Rs 1,200)        
To Locker Rent    6,800    
     (Including Rs 600 for 2017-18)        
    5,80,000   5,80,000

The solution of Question 38 Chapter 1 of +2-A

: –

Income and Expenditure Account (for the year ended 31st March 2019)
Expenditure
Amount Income
Amount
To Rent 60,000   By Entrance Fees (2018-19) 50,000
    Less: – For 2017-18 15,000 45,000 By Subscription 2018 – 19 90,000  
To Insurance Premium 60,000   Add: O/s Sub. for 2018 -19 10,000 1,00,000
Less: For 2019 – 20 15,000 45,000 (90,000 × 10/90)    
To Newspapers   1,000 By Donations A/c    1,20,000
To Printing and Stationery 19,000 By Interest on Fixed Deposit 2,400  
To Loss on Sale of Sports Material
(1,200 – 500)
700 Add: Accrued Interest 2,400  
      By Sale of Old Sports Materials 300
      By Locker Rent 6,800  
      Less: For 2017-18 600 6,200
To Surplus (Balancing Figure)   1,70,600    
    2,81,300     2,81,300

Note:

  • These Following items are related to Balance sheet (i.e. These are assets or Liabilities)
    • Related to Assets: – Sports Equipment, Furniture, Insurance Premium for the year 2019-20 and 8% Fixed Deposit.
    • Related to Liabilities: – Life Membership Fees, Donations for the tournament,
  • Subscription and Entrance Fees for the year 2017-18 is related to the previous year So it will be shown only in the receipts and payment account.
  • Subscription for the year 2019-20 is related to the Next year So it will be shown in the receipts and payment account and Balance sheet Liabilities side.

 

Not-for-Profit Organisations – Meaning and Overview

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Also, Check out the solved question of previous Chapters: –

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

  • Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
  • Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
  • Chapter No. 3 – Goodwill: Nature and Valuation
  • Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
  • Chapter No. 5 – Admission of a Partner
  • Chapter No. 6 – Retirement/Death of a Partner
  • Chapter No. 7 – Dissolution of a Partnership Firm

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

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

  • Chapter No. 1 – Financial Statements of a Company
  • Chapter No. 2 – Financial Statement Analysis 
  • Chapter No. 3 – Tools of Financial Statement Analysis – Comparative Statements and Common- Size Statements
  • Chapter No. 4 – Accounting Ratios
  • Chapter No. 5 – Cash Flow Statement

 

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2 Book 1 min - Question 38 Chapter 1 of +2-A - T.S. Grewal 12 Class Part - A Vol. 1
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms

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