Question

Q. 55. Prepare an Income and Expenditure Account for the year ended 31st March, 2016 and the Balance Sheet as at that date from the following Receipts and Payments Account of a Club and from Receipts the information supplied: Payments To Balance b/d To Subscriptions for 2014-15 for 2015-16 for 2016-17 To Sale of old furniture (Costing 1, 000) To Rent received for the use of Hall To Entrance Fees: To Sale of Newspapers Informations: 2,500 By Salaries By General Expenses 2,500 By Electric Charges 10,000 By Books 2,000 By Newspapers By Postage 600 By Furniture 7,400 By Balance c/d 4,000 1,000 30,000 12,000 3,000 2,000 1,000 4,000 500 2,500 5,000 30, 000 (1) The club has 50 members, each paying annual subscription of *250. Subscriptions outstanding on 1st April, 2015 were 3,000. (ii) On 31st March, 2016, Salaries outstanding amounted to 1,000. Salaries paid included 1,000 for the year 2014 - 15 . (iii) General Expenses include Insurance which is prepaid to the extent of 100. (iv) On 31st March, 2015, the club owned Land and Building valued at \ 1,00,000 , Furniture 76,000 and Books 5,000. v) 40% of Entrance Fees is to be capitalised.​

Answer 1

total subscription -12500,entry fees-2400 surplus-6400