Question

What is the nature of the Receipt and payment Account?

पर्याय

• It is the summary of cash and bank transactions.

• It is like profit and loss.

• Both It is the summary of cash and bank transactions and It is like profit and loss.

• None of these

Answer 1

It is the summary of cash and bank transactions.

Explanation:

The Receipt and Payment Account is a summary of cash and bank transactions used to create the Income and Expenditure Account and the Balance Sheet. The Receipts and Payments Account, along with the Income and Expenditure Account and the Balance Sheet, must be presented to the Registrar of Societies.