in advance shown on liabilities side on 31st March 20 3,000.) Preparation of Income and Expenditure A/c from Receipts & Payments Aler 0.16. Following is the Receipts and Payments Account of Star Club for the year ended 31st March, 2019: Receipts ₹ Payments ₹ To Balance b/d on 1-4-2018 4,400 By Salaries 18,200 To Subscriptions 46,100 By Rent 15,000 To Interest 2,500 By Printing and Stationery 7,300 To Tournament Fund 12,000 By Expenses on Charity Show 16,100
Answers
Income and Expenditure Account for the year ended 31
st
March, 2018
Expenditure Rs. Income Rs.
To Expenses 20,000 By Subscriptions(21,000+6,000) 27,000
To Interest 4,000 By Locker rent(7,000−2,400) 4,600
To Misc. Expenses 4,700 By Sale proceeds of old newspapers 1,000
To Surplus 12,900 By Misc. income 9,000
41.600
41,600
Balance Sheet as at 31
st
March, 2018
Liabilities
Amount(Rs.) Assets Amount(Rs.)
Capital fund
Land and Building 1,90,000
Ba. as on 1.4.2017 1,06,200
Subscription receivable (2017) 1,800
Add: Entrance fee 38,000
(3,800−2,000)
Add: Surplus 12,900 1,57,100
Loan
40,000 Cash in hand 18,300
Creditors
10,000
Outstanding expenses (2017)(14,000−12,000)
2,000
Subscription received in advance
1,000
2,10,100
2,10,100
Note: Entrance fees have been capitalized in the given solution.