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Question
Following is the information in respect of certain items of a Sports Club. You are required to show them in the Income and Expenditure Account and the Balance Sheet.
| Details | Amount (Rs) |
| Sports Fund as on April 1, 2016 | 80000 |
| Sports Fund Investments | 80000 |
| Interest on Sports Fund Investments | 8000 |
| Donations for Sports Fund | 30000 |
| Sports Prizes awarded | 16000 |
| Expenses on Sports Events | 7000 |
| General Fund | 200000 |
| General Fund Investments | 200000 |
| Interest on General Fund Investments | 20000 |
Solution
Income and Expenditure Account
as on March 31, 2016
Dr. Cr.
| Expenditure | Amount (Rs) | Income | Amount (Rs) |
| Interest on General Fund Investments | 20000 | ||
Balance Sheet
as on March 31, 2016
| Liabilities | Amount (Rs) | Assets | Amount (Rs) | |
| Sports Fund | 80,000 | Sports Fund Investments | 80,000 | |
| Add: Interest on Sports Fund Investments | 8,000 | 95,000 | General Fund Investments | 2,00,000 |
| Add: Donation for Sports Fund | 30,000 | |||
| 1,18,000 | ||||
| Less: Sports Prizes Awarded | (16,000) | |||
| Less: Expenses on Sports Events | (7,000) | |||
| General Fund | 2,00,000 | |||
Note: Balance sheet wall not tally since the information available is not sufficient.
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