Question

How would you treat the following items in the case of a non-for-profit organisation.

Rs.

Tournament fund 50,000

Tournament Expense 12,000

Receipts from Tournament 20,00​

Answer 1

Receipts amount is 19000
Leftover is 40000

Answer 2

In the liability side of Balance sheet :

Tournament fund = 50,000

(less) Tournament expenses = (12,000)

(add) Tournament receipts = 2,000

= 50,000-12,000+2,000

= 40,000 will be shown in liability side of Balance sheet.