Question

give the meaning of receipt and payment account

Answer 1

1)Receipts and Payment Account is a Real Account .

2) It is a summary of Cash Book.

3) It is prepared on cash basis by the Non Profit Organisations.

4) Any expenditure whether capital /revenue is shown in this Accoubt.

5) All cash payments are shown on the credit side and all cash receipts are shown on the debit side.

6) It shows opening and closing balances of cash in hand and cash at bank.