Question 41 Chapter 1 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 41 Chapter 1 of +2- Part-
Q-41 - CH-1 - Usha +2 Book 2018 - Solution-


Question 41 Chapter 1 of +2-Part-1


41. (I & E A/c/ B/S/ Depreciation on Sports Equipment)The treasurer of a Social Club has prepared the following Receipts and Payments Account for the year ended 31st March 2015:

RECEIPTS AND PAYMENTS ACCOUNT for the year ended 31st March 2015
Receipts Rs.PaymentsRs. 
Bank balance6,400Rent of rooms2,800
Subscriptions20,000Wages of caretaker4,000
Entrance fees3,000Purchase of sports equipment12,80
Sale of refreshments7,600Dance expenses3,800
Sale of dance tickets4,500Refreshment supplies5,200
Interest on investments @7% for a full year3,500Secretary’s Expenses800
  General Expenses2,500
  Printing and stationary1,400
  Bank balance11,700
 45,000 45,000

You are given the following information:
1. At 31.3.2014, assets comprised:
Furniture Rs.9,600; Sports equipment Rs.5,200; Subscriptions in arrears Rs.1,500;
Liabilities were:
Accrued Rent Rs. 600 and subscriptions received in advance Rs.400.
2. At 31.3.2015, assets comprised:
Furniture Rs.8,600; Sports equipment Rs.15,200; Subscriptions in arrears Rs.1,300;
Liabilities were:
Accrued Rent Rs. 300 and subscriptions received in advance Rs.1800.
The members require:
(a) Income and Expenditure Account for the year ended 31st March, 2015
(b) the Balance Sheet as on that date.

The solution of Question 41 Chapter 1 of +2 Part-1: – 

Income and Expenditure account of Social Club For the year ending 31st March 2015
To Wages of caretaker 4,000By subscriptions:20,000 
To Dance expenses 3,800Add: Outstanding1300 
To Refreshment supplies 5,200Add: Received in advance400 
To Secretary’s Expenses 800Less: Received for previous year1500 
To General Expenses 2,500Less: Received in advance1,80018,400
To Printing and stationary 1,400By sale of refreshments 7,600
To depreciation on furniture 1,000By Sale of dance tickets 4,500
To rent of rooms:2,800 By Interest on investments 3,500
Add: Outstanding (closing)300    
Less: Outstanding (opening)6002,500   
To depreciation on sports equipment(WN1) 2,800   
To Surplus c/d 10,000   
  34,000  34,000
Balance Sheet As of 31st March 2015
Outstanding Rent 300Cash at bank 11,700
Entrance fees 3,000Furniture9,600 
Subscriptions received in advance 1,800Less: Depreciation1,0008,600
Capital Fund:  Sports Equipment5,200 
Opening Balance71,700 Add: Purchased12,800 
Add: Surplus10,00081,700Less: Depreciation2,80015,200
   Subscription due 1,300
   Investments (100/7*3,500) 50,000
  86,800  86,800

Working Note:
1) Depreciation on sports equipment:

Opening balance5,200
Add: Purchased during the year12,800
Less: Closing balance15,200
Depreciation for the year2,800

2. Opening Capital Fund:


Balance Sheet As on 1st April 2014
Outstanding Rent 600Furniture 9,600
Subscriptions received in advance 400Sports equipment 5,200
Capital Fund (Balancing Figure) 71,700Subscription due 1,500
   Investments 50,000
   Cash at bank 6,400
  72,700  72,700

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

Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution

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