Question

given below is the receipt and payment account of a clock for the year ending 31st December 2017 and its balance sheet as on the date after taking the following information in the account​

Answer 1

Answer:

1)any expenditure of capital nature out of special fund(e.g expenditute on the construction of building) should be shown on the asset side of the balance sheet and an equal amount should be transfer from special fund to capital fund.

HOPE IT HELPS...