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Question -

Receipt and Payment Account of Maitrey Sports Club showed that Rs 68,500 were received by way of subscriptions for the year ended on March 31, 2017.
The additional information was as under:
1. Subscription Outstanding as on March 31, 2016 were Rs 6,500,
2. Subscription received in advance as on March 31, 2016 were Rs 4,100,
3. Subscription Outstanding as on March 31, 2017 were Rs 5,400,
4. Subscription received in advance as on March 31, 2017 were Rs 2,500.
Show how that above information would appear in the final accounts for the year ended on March 31, 2017 of Maitrey Sports Club.



Answer -

Books of Maitrey Sports Club

Income and Expenditure Account 

as on March 31, 2017

Dr.

 

Cr.

Expenditure

Amount

 Rs

Income

Amount

Rs

 

 

Subscription

68,500

 

 

 

Less: O/s on Mar. 31, 2016

(6,500)

 

 

 

62,000

 

 

 

Add: Advance on Mar. 31, 2016

4,100

 

 

 

Add: O/s on Mar. 31, 2017

5,400

 

 

 

71,500

 

 

 

Less: Advance on Mar. 31, 2017

(2,500)

69,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance Sheet 

as on  March 31, 2016

Liabilities

Amount

Rs

Assets

Amount

Rs

Subscription in Advance

4,100

Subscription Outstanding

6,500

 

 

 

 

 

 

 

 

 

Balance Sheet 

as on March 31, 2017

Liabilities

Amount

Rs

Assets

Amount

Rs

Subscription in Advance

2,500

Subscription Outstanding

5,400

 

 

 

 

 

 

 

 

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