Question

From the following information calculate the amount of subscription to be credited to the Income and Expenditure Account for the year 2019-20. *Subscription received during the year - Rs. 80,000 *Subscription outstanding on 31st march 2019- Rs. 26,000 *Subscription outstanding for the year 31st march 2020- Rs. 6,000 *Subscription received in advance on 31-3-2019- Rs. 15,000 *Subscription received in advance on 31-3-2020-Rs. 10,000 *subscription of Rs. 12,000 are still in arrears for the year 2018-19.​

Answer 1

Answer:

amount to be credited in income and expenditure account is ₹77000.

Explanation:

outstanding for previous year(2018-19) is to be calculated as follows:

amount outstanding for year 2018-19 was ₹26000

amount outstanding at then end for 2018-19 was ₹12000

that means ₹14000 was received this year for 2018-19