46. From the following Receipts and Payments Account of Premier Club and the information supplied, prepare Income and Expenditure Account for the year ended 31st March, 2021 and Balance Sheet as at that date Dr. Rec Dr. RECEIPTS AND PAYMENTS ACCOUNT for the year ended 31st March, 2021 3 ₹ Payments To Receipts ? 7,000 28.000 To Balance bid To Subscriptions 2019-20 5.000 2020-21 20,000 2021-22 4,000 To Hire of Ground To Surplus from Entertainment Events To Sale of Old Newspapers By Salaries By General Expenses By Electricity Charges By Books By Newspapers By Balance od 29,000 14,000 8,000 2.000 4.00 10.000 8,000 4.000 60,000 60,000 (a) The club has 50 members each paying an annual subscription of 500. b) Subscriptions Outstanding on 31st March, 2020 were * 6,000. Id On 31st March, 2021, Salaries Outstanding amounted to 2,000. Salaries paid in the year ended 31st March, 2021 included 6,000 for the year ended 31st March, 2020. id On 1st April, 2020, the Club owned Building valued at 2,00,000; Furniture 720,000 and Books 20,000 le) Provide depreciation on Furniture at 10%.
Answers
Answer:
Solution
In the books of New City Club
Income and Expenditure Account
for the year ended March 31, 2018
Dr.
Cr.
Expenditure
Amount
(Rs)
Income
Amount
(Rs)
Salaries
28,000
Subscription (50 members × Rs 500 each)
25,000
Add: Outstanding for 2017-18
2,000
Rent Received from the use of hall
14,000
Less: Outstanding for 2016-17
6,000
24,000
Profit from Entertainment
8,000
General Expenses
6,000
Sale of Old Newspapers
2,000
Electricity Charges
4,000
Newspapers
8,000
Depreciation on Furniture (2,000 × 10%)
2,000
Surplus (Balancing Figure)
5,000
49,000
49,000
Balance Sheet
as on April 01, 2017
Liabilities
Amount
(Rs)
Assets
Amount
(Rs)
Salaries Outstanding
6,000
Subscriptions Outstanding
6,000
Capital Fund
2,47,000
Building
2,00,000
(Balancing Figure)
Furniture
20,000
Books
20,000
Cash and Bank
7,000
2,53,000
2,53,000
Balance Sheet
as on March 31, 2018
Liabilities
Amount
(Rs)
Assets
Amount
(Rs)
Advance Subscription
4,000
Subscription Outstanding
Salaries Outstanding
2,000
For 2015-16 (25,000 - 20,000)
5,000
Capital Fund
2,47,000
For 2014-15 (6,000 - 5,000)
1,000
6,000
Add: Surplus
5,000
2,52,000
Building
2,00,000
Furniture
20,000
Less: 10% Depreciation
2,000
18000
Books
20,000
Add: Purchases
10,000
30,000
Cash and Bank
4,000
2,58,000
2,58,000