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प्रश्न
Receipts and payments account serves as the basis for preparing the balance sheet of non-trading organisation.
उत्तर
Against:
- A non-trading organization's Balance Sheet does not start with the Receipts and Payments Account.
- The closing balance sheet is prepared using the Income and Expenditure Account as well as the opening balance sheet.
- The Receipts and Payments Account is a summary of all cash transactions that are equal between capital and revenue items or match income and expenses to the appropriate period.
- As a result, it does not provide the necessary asset, liability, and capital information to create a complete Balance Sheet.
APPEARS IN
संबंधित प्रश्न
Write any two uses of the Balance Sheet?
______ is not an account but only a statement of assets and liabilities.
The following trial balance was extracted from the books of A. Harding, as on 31st March, 2019:
| Debit (₹) | Credit (₹) | |
| Capital | 20,100 | |
| Drawings | 1,500 | |
| Cash in Hand and at bank | 1,400 | |
| Petty Cash | 100 | |
| Cash Purchases and Sales | 10,000 | 20,000 |
| Credit Purchases and Sales | 12,000 | 25,000 |
| Returns | 2,000 | 1,000 |
| Discount | 400 | |
| Carriage Inwards | 500 | |
| Salaries | 6,000 | |
| Sundry and Petty Expenses | 1,200 | |
| Opening Stock | 5,000 | |
| Bad Debts | 600 | |
| Rent | 1,500 | |
| Machinery | 36,000 | |
| Furniture | 5,000 | |
| Debtors and Creditors | 5,000 | 10,000 |
| Stationary | 2,500 | |
| Commission | 200 | |
| Bank Loan | 14,400 | |
| 90,700 | 90,700 |
Prepare the complete set of final accounts for Mr. A. Harding, after incorporating the following adjustment:
- Closing stock is ₹ 26,000.
The main use(s) of a Balance Sheet for a non-trading organisation is/are ______.
Which of the following is not a feature of Balance Sheet?
All membership fees collected by a non-trading concern must be entered in the assets side of the balance sheet. Justify for or against.
"A trading account reveals the financial position of an organisation." Comment.
State any two uses of Balance Sheet.
Balance sheet is an Account. Justify.
Write a short note on Role of Balance Sheet in decision making.
