Question 44 Chapter 1 of +2-Part-1
44. (I & E A/c/ B/S) Following Receipts and Payments Account has been prepared from cash book of Ganges Club, Kanpur:
| RECEIPTS AND PAYMENTS ACCOUNT | |||
| Receipts | Rs. | Payments | Rs. |
| To balance on 1-4-17 | 25 | By rents and rates | 1,680 |
| To member’s entrance fees | 231 | By printing and advertising | 800 |
| To subscription of playing members: | By postage and stationary | 278 | |
| 2016-17 | 63 | By wages and umpire’s fees | 1,200 |
| 2017-18 | 600 | By players’ travelling expenses | 500 |
| To subscription of Honorary members: | By repairs to pavillion | 209 | |
| 2016-17 | 260 | By extension of Pavillion | 1,956 |
| 2017-18 | 4,725 | By wicket matting | 221 |
| 2018-19 | 120 | By bats balls etc | 455 |
| To public matches | 1,120 | By balance on 31-3-18 | 216 |
| To interest on fixed deposit @10% p.a. | 141 | ||
| To sale of old newspapers | 230 | ||
| 7,515 | 7,515 | ||
An examination of invoices, vouchers, and other records disclosed the following information:
Rent at Rs.100 per month has been paid only up to 31-12-17 and rates have been paid in advance to the extent of Rs.120. There is Rs.180 owing for wages and umpire’s fees and a bill for Rs.55 for bats, balls, etc. is still outstanding. Playing members’ subscriptions are Rs.40 in arrear for the year and the amount still owing by Honorary members is Rs.425.
Make out the Income and Expenditure Account and the balance sheet as of 31st March 2018.
The solution of Question 44 Chapter 1 of +2 Part-1: –
| Income and Expenditure account of Ganges Club For the year ending 31st March 2018 |
|||||
| Expenditure |
Amount | Income |
Amount | ||
| To printing and advertising | 800 | By entrance fees | 231 | ||
| To rent and rates | 1,680 | By subscription of players | 600 | ||
| Add: outstanding(3*100) | 300 | Add: outstanding | 40 | 640 | |
| Less: prepaid rates | 120 | 8,160 | By Honorary’s subscription | 4,725 | |
| To postage and stationary | 278 | Add: outstanding | 425 | 5,150 | |
| To wages and umpire’s fees | 1,200 | By public matches | 1,120 | ||
| Add: outstanding wages | 180 | 1,380 | By interest on fixed deposit | 141 | |
| To traveling expenses | 500 | By sale of old newspapers | 230 | ||
| To repairs to Pavillion | 209 | ||||
| To wicket matting | 221 | ||||
| To bats balls etc: | 455 | ||||
| Add: outstanding bill | 55 | 510 | |||
| To the excess of surplus over expenditure | 1,754 | ||||
| 7,512 | 7,512 | ||||
| Balance Sheet As of 31st March 2018 |
|||||
| Liabilities |
Amount | Assets |
Amount | ||
| Capital Fund: | Cash in hand | 216 | |||
| -Balance on 1-4-17 | 1,758 | Extension to Pavillion | 1,956 | ||
| Add: Surplus | 1,754 | 3,512 | Fixed deposits(100/ 10 x 141) | 1410 | |
| Outstanding wages | 180 | Prepaid rates | 120 | ||
| Outstanding rent | 300 | Outstanding subscriptions: | |||
| Subscription received in advance | 120 | Playing members | 40 | ||
| Outstanding for bats and balls | 55 | Honorary members | 425 | 465 | |
| 4,167 | 4,167 | ||||
Working Note:
1. Opening Capital Fund:
| Balance Sheet As of 1st April 2017 |
|||||
| Liabilities |
Amount | Assets |
Amount | ||
| Capital Fund (Balancing Figure) | 1,758 | Cash in hand | 25 | ||
| Fixed deposits (140 x 100/10) | 1,410 | ||||
| Subscription due: | |||||
| Playing members | 63 | ||||
| Honorary members | 260 | ||||
| 1,758 | 1,758 | ||||
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Also, Check out the solved question of previous Chapters: –
Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement
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