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Question -

Prepare Income and Expenditure Account and Balance Sheet for the year ended March 31, 2016 from the following Receipt and Payment Account and Balance Sheet of culture club:

Receipt and Payment Account 

for the year ending March 31, 2016

Receipts

Amount

(Rs)

Payments

Amount

(Rs)

Opening cash balance

 

12,000

Furniture

4,000

Subscription

 

 

Telephone expenses

800

2014-15

2,000

 

Salary

 

2015-16

22,000

24,000

2014-15

1,000

Entrance fees

2,800

2015-16

4,000

Locker rent

1,000

Newspapers

700

Life membership fee

1,200

Sundry expenses

 1,000

Government grant

11,000

Defence bonds

18,000

 

 

Land

20,000

 

 

Closing cash balance

2,500

 

52,000

 

52,000

 

 

 

 

 

Balance Sheet 

for the year ending March 31, 2016

Liabilities

Amount

(Rs)

Assets

Amount

(Rs)

Advance locker rent

200

Cash in hand

12,000

Subscription received in Advance

1,000

Outstanding subscription

3,000

Outstanding salary

 2,000

Building

35,000

Loan

10,000

 

 

Capital fund

 36,800

 

 

 

50,000

 

50,000

 

 

 

 



Answer -

Books of Culture Club

Income and Expenditure Account 

as on March 31, 2016

Dr.

 

Cr.

Expenditure

Amount

Rs

Income

Amount

Rs

Telephone Expenses

800

Subscription

22,000

 

Salary

4,000

Add: Advance Received in 2015

1,000

23,000

Newspapers

700

 

 

Sundry Expenses

1,000

Entrance Fees

2,800

 

 

Locker Rent

1,000

 

Surplus (Balancing figure)

31,500

Add: Advance Received in 2015

200

1,200

 

 

Government Grants

11,000

 

 

 

 

 

38,000

 

38,000

 

 

 

 

 

 

 

 

 

 

 

 

Balance Sheet 

as on March 31, 2016

Liabilities

Amount

Rs

Assets

Amount

Rs

Capital Fund

36,800

 

Subscription Still Outstanding for 2015

1,000

Add: Life Membership Fees

1,200

 

(Rs 3,000 – Rs 2,000)

 

Add: Surplus

31,500

69,500

Furniture

4,000

 

 

Defence Bonds

18,000

Salary Still Outstanding for 2015

1,000

Land 

20,000

Loan

10,000

Building

35,000

 

 

Cash in Hand

2,500

 

80,500

 

80,500

 

 

 

 

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