Question

3. Which of the following items that will not appear in the Balance Sheet of a club?
a) Special subscription for govemor's party received during the current year
b) Subscription received for the next year
c) Subscription outstanding during the year
(d) Subscription received for the current year​

Answer 1

Answer:

a) option

Explanation:

i think this answer......

Answer 2

The right answer is option D:

Explanation:

(d) Subscription received for the current year​

• A liability is a subscription received in advance throughout the accounting year.
• Income received in advance refers to subscription income that is not tied to the current year but received during the year.

• If it corresponds to the financial year, the subscription received is an income that must be accounted for as such.
• Any advance payment is a liability that must be recorded on the balance sheet.