Advertisements
Advertisements
प्रश्न
How annual subscription is dealt with in the final accounts of the not-for-profit organisation?
उत्तर
(A) Treatment in income and expenditure account: When subscription received for the current year, previous years and subsequent period are given separately, subscription received for the current year will be shown on the credit side of the income and expenditure account after making the adjustments given below:
- Subscription outstanding for the current year is to be added.
- Subscription received in advance in the previous year which is meant for the current year is to be added.
When total subscription received in the current year is given:
- Subscription outstanding in the previous year which is received in the current year will be subtracted.
- Subscription received in advance in the previous year which is meant for the current year is added and subscription received in advance must be subtracted.
(B) Treatment in the Balance sheet:
- Subscription outstanding for the current year and still outstanding for the previous year will be shown on the asset side of the Balance sheet.
- Subscriptions received in advance in the current year will be shown on the liabilities side of the Balance sheet.
APPEARS IN
संबंधित प्रश्न
Excess of Income over Expenditure is termed as ___________.
Write the Word/ Term/ Phrase which can substitute the following statement:
To excess of total assets over total liabilities of a Not for Profit concern.
State whether the following statement is True or False with reasons.
Income and Expenditure Account represents either surplus or deficit.
Subscription received from the members is considered as ________ receipts.
Answer in one sentence only.
What is a Subscription?
(Presentation of Subscription only)
| Balance Sheet as on 01.04.2018 | |||||
| Liabilities | Amt. ₹ | Amt. ₹ | Assets | Amt. ₹ | Amt .₹ |
|
Subscription received in Advance for 2018 - 19 |
20,000 | Outstanding Subscription | |||
| 2016 - 17 | 26,000 | 61,000 | |||
| 2017 - 18 | 35,000 | ||||
| Dr | Receipts and Payments Account for the year ending 31.03.2019. | Cr | |||||
| Receipts | Amt. ₹ | Amt. ₹ | Payments | Amt.₹ | Amt. ₹ | ||
| To Subscriptions | |||||||
| 2016 - 17 | 23,000 | 4,84,000 | |||||
| 2017 - 18 | 30,000 | ||||||
| 2018 - 19 | 4,10,000 | ||||||
| 2019 - 20 | 21,000 | ||||||
Adjustments :
Outstanding Subscription for 2018 - 19 is ₹ 32,000
With the above information present the item Subscription in Income and Expenditure Account for the year ended 31.03.2019 Balance Sheet as on the date.
| Dr | Receipts and Payments Account for the year ending 31.03.2018. | Cr | |||||
| Receipts | Amt. ₹ | Amt. ₹ | Payments | Amt.₹ | Amt. ₹ | ||
| To Subscriptions | |||||||
| 2016 - 17 | 2,000 | ||||||
| 2017 - 18 | 60,000 | ||||||
| 2018 - 19 | 4,500 | 66,500 | |||||
Adjustments :
Subscription Outstanding for the year 2017 - 18 is ₹ 6,000.
During previous year Subscription received in advance for 2017 - 18 is ₹ 2,000.
Outstanding subscription of 2016 - 2017 is ₹ 2,500
With the help of the above information present the item Subscription in Income and Expenditure Account for the year ending 31.03.2018 and Balance Sheet as on that date.
Complete the following table:
Salaries paid during the year
| Total (₹) |
Prepaid/ Outstanding |
(₹) | Expenditure for the year |
| ? | Outstanding | 600 | 5,100 |
Mumbai University prepares ______ Account instead of a Profit and Loss account.
Find the odd one:
