Question

feature of non profit organisation and difference between receipt payment​

Answer 1

Features of Non-profit Organization

1 The primary objective of such organizations is to serve society.

2 No surplus gets distributed among its members.

3 Major funding is done by donation and contribution in the non-profit organization.

4 The non-profit organization also considered as a separate legal entity.

-----Receipt and payment account: The difference between receipts and payments represents the balance of cash in hand or at bank (or bank overdraft at the closing date). Income and expenditure account: The difference between income and expenditure represents either surplus or deficit balance.