Question

The following information has been extracted from the financial statements of a not-for-profit organization for the year ended 31^st March, 2019:

Particulars	Amount (₹)
Opening Balance of Match Fund	5,00,000
Sale of Match tickets	3,75,000
Donation for Match Fund received during the year	1,24,000
Match expenses	10,00,000

Which of the following statements is correct for the presentation of the above items in the financial statements of the not-for-profit organization?

Options

• Negative Balance of Match fund ₹ 1,000 will be shown on the liabilities side of the Balance Sheet as at 31st March, 2019.

• Opening Balance of Match Fund ₹ 5,00,000 will be shown on the liabilities side of Balance Sheet as at 1.4.2018.

• Negative balance of match fund ₹ 1,000 will be shown on the expenditure side of the Income and Expenditure Account for the year ended 31.3.2019.

• Both Opening Balance of Match Fund ₹ 5,00,000 will be shown on the liabilities side of Balance Sheet as at 1.4.2018  and  Negative balance of match fund ₹ 1,000 will be shown on the expenditure side of the Income and Expenditure Account for the year ended 31.3.2019.

Answer 1

Both Opening Balance of Match Fund ₹ 5,00,000 will be shown on the liabilities side of Balance Sheet as at 1.4.2018  and  Negative balance of match fund ₹ 1,000 will be shown on the expenditure side of the Income and Expenditure Account for the year ended 31.3.2019.