Question

From the following Receipts and Payments Account of Imran Khan club and from the given additional information, prepare Income and Expenditure Account for the year ending 31st December, 2015 and the Balance Sheet as at that date:
Additional Information:
(i) The club had received ₹ 20,000 for subscription in 2014 for 2015.
(ii) Salaries had been paid only for 11 months.
(iii) Stock of sports materials on 31st December, 2014 was ₹ 3,00,000 and on 31st December, 2015 ₹ 6,50,000.

Answer 1

HEYA MATE YOUR ANSWER IS

Additional Information:

(i) The club had received ₹ 20,000 for subscription in 2014 for 2015.

(ii) Salaries had been paid only for 11 months.

(iii) Stock of sports materials on 31st December, 2014 was ₹ 3,00,000 and on 31st December, 2015 ₹ 6,50,000.

The additional information is very helpful

HOPE THIS HELPS

Answer 2

Calculation of amount of investments:

Investments= interest x 100/ rate of return

                    = 40,000 x 100/8

                     = Rs 5,00,000

Outstanding salaries:

outstanding salaries= 3,30,000 x 1/11

                                   = Rs 30,000