Question

2. How will you deal with the Entrance Fees while preparing the final account is
year ended 31st March, 2017, in each of the following
Case I. During the year 2016-17. Entrance Fees received 1.50.000
Case 2. During the year 2016-17. Entrance Fees received 1.50.000. Its the policy
of the club to treat the Entrance Fees as revenue receipt
Case 3. During the year 2016-17. Entrance Fees received 1.50,000. It is the policy
of the club to treat the Entrance Fees as Capital repeipt
Case 4. During the year 2016-17, Entrance Fees received 1.50.000. According
the policy of the club 40% of the Entrance Fees is to be capitalised​

Answer 1

Explanation:

1. Entrance fee - in income and expenditure account

2. Entrance fee - Income and expenditure account

3. Entrance fee - balance sheet

4. 60%entrance fee income and expenditure account and 40% in balance sheet