Question

Q.1) Subscription received in advance by a club are shown on the ……………side of the balance sheet​

Answer 1

Answer:

liabilities side of balance sheet

Answer 2

Subscriptions received in advance by a club are shown on the liabilities side of the balance sheet.

• Subscription to a nonprofit organization means becoming a member of the organization by paying some amount.
• This can be collected by the organization monthly, quarterly or yearly it totally depends on the organization.
• It is the income of the organization and is revenue in nature.
• Income collected from the subscription is credited to the income and expenditure account.
• Any advance in the subscription is shown on the liabilities side of the balance sheet.