Question

There are 100 members each paying an annual subscription of 500. The Receipt and Payment account shows arrear subscription of 4,500, advance subscriptions 6,000 and current 44,500. How much amount to be credited in the Income and Expenditure account?

Answer 1

Given :-

• There are 100 members each paying an annual subscription of 500.
• The Receipt and Payment account shows arrear subscription of 4,500.
• advance subscriptions 6,000 .
• current 44,500.

To Find :-

• How much amount to be credited in the Income and Expenditure account ?

Solution :-

→ Total Members = 100

→ Each paying an annual subscription of = Rs.500

Therefore,

→ Amount to be credited in the Income and Expenditure account = Total Members * each annual subscription = 50 * 1000 = Rs.50000 (Ans.)

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Note :-

• when Total Number of members and each members annual subscription is given we just have to multiply both to find credited amount .

• when any one of the value is not given , than , we use :- Subscription = Amount recieved - outstanding (opening) - advance recieved(closing) + outstanding (closing) + advance recieved (opening).

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