Question 48 Chapter 1 of +2-Part-1
48. (I & E A/c/ B/S) From the trial balance and other information, given below for a school, prepare income and expenditure account for the year ended on 31-3-2015 and a balance sheet as on that date:
|Furniture||1,00,000||Tuition fees received||5,00,000|
|Library books||1,50,000||Creditors for supplies||15,000|
|Investments @ 12%||5,00,000||Rent for the school hall||10,000|
|General Expenses||18,000||General Fund||10,00,000|
|Sports Expenses||15,000||Donation for library books||62,500|
|Cash at bank||50,000||Sale of old furniture||20,000|
|Cash in hand||2,000|
1) Fees yet to be received for the year are Rs.25,000.
2) Salaries yet to be paid amount to Rs.30,000.
3) Furniture costing Rs.40,000 was purchased in October 2014.
4) The book value of furniture sold was Rs.50,000 on April 1, 2014.
5) Depreciation is to be charged @10% p.a. on furniture, 15% on library books and 5% on the building.
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The solution of Question 48 Chapter 1 of +2 Part-1
|Income and Expenditure account
For the year ending 31st March 2015
|To salaries||5,00,000||By tuition fees||5,00.000|
|Add: Outstanding||30,000||5,30,000||Add: outstanding||25,000||5,25,000|
|To stationary||40,000||By rent for a school hall||10,000|
|To general expenses||18,000||By Miscellaneous receipts||30,000|
|To sports expenses||15,000||By Government grant||3,50,000|
|To loss on sale of furniture||30,000||By interest on investments||60,000|
|To depreciation-furniture @10%||By admission fees||12,500|
|On 60,000 for 1 year||6,000|
|On 40,000 for ½ year||2,000||8,000|
|-library books @ 15%||2,500|
|-building @ 5%||31,250|
|To excess of income over expenditure||2,92,750|
Note: Assumed that old furniture was sold at the end of the year so full year’s depreciation is charged.
As on 31st March 2015
|Capital Fund:||Cash in hand||2,000|
|-Opening Balance||10,00,000||Cash at bank||50,000|
|Creditors for supplies||15,000||Less: depreciation||31,250||5,93,750|
|Donation for library books||62,500||Less: Depreciation||8,000|
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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
- Chapter No. 3 – Partnership Accounts – II (Introduction)
- Chapter No. 4 – Partnership Accounts – III (Goodwill: Nature and Valuation)
- Chapter No. 5 – Partnership Accounts – IV (Reconstitution of Partnership)
- Chapter No. 6 – Partnership Accounts – V (Admission of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Retirement and Death of A Partner)
- 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 (Balance Sheet Only)
- Chapter No. 2 – Techniques of Financial Statement Analysis
- Chapter No. 3 – Ratio Analysis
- Chapter No. 4 – Cash Flow Statement