respectively
Account
6. Following is the Receipt and Payments
account of Gaurav Cricket Club for the year
ended 31 March, 2020.
00000
35000
Receipts and Payments A/C
(For the year ended 31 March 2020)
Receipts
IR Payments
To balance Wd
27000 By building
Todotion for bulding
103000 By match expenses
To life membership fec
32000 By furniture
By 10% investments purchased on 1st
To donanen for match fund
45000 Anal 2019
To subscription
184000 By salaries
To locker rent
5000 By insurance
Te interest on investment
800d By miscellaneous expenses
To sale of furniture (book value Rs.
S000)
4200 By balance cld
To entrance fes
13200
421400
120000
36800
SOOD
3000
12600
4121400
Additional information:
1. 50% of the entrance fee is to be capitalized.
2. Donation for building includes 10% general donation
3. Subscription outstanding as on 1" April 2019 and 31"
March 2020 are Rs. 4000 and Rs. 2400 respectively.
Subscription received in advance as on 31" March 2020 is
Rs. 18000
The club had following assets and liabilities as on 31"
March 2019
Building Rs. 90000, Sports Equipments Rs. 70000,
Furniture Rs. 8000, Match fund Rs. 20000, Building Fund
Rs. 140000
Prepare Income and expenditure account for the year ended
31" March 2020.
Answers
In the 2nd column [ Amount (RS) ], in the last, total, you have to write - 5,47,000
Concept :
Payments and receipts A declaration of balances and a summary of all funds received and disbursed by the charity throughout its fiscal year are included in the accounts, which are generated using a straightforward accounting method.
Explanation:
We have been given a question about accounting.
We have to write about receipts and payments.
• The receipt and payment account serves as a summary of the cash that an organisation received and paid within a certain accounting period.
• It paints a picture of a not-for-profit organization's cash flow situation. It is created using the Cash Book's recorded cash and bank transactions.
• All payments made are recorded on the credit side of the receipts and payments accounting whereas all cash revenues are recorded on the debit side of the account.
Final Answers:
Hence the receipt and payment account serves as a summary of the cash that an organisation received and paid within a certain accounting period.
SPJ2