Financial statements for not for

profit organisation
Question 1 (Additional)

Following information has been given for Bharat Sports club,

Delhi for the year ending 31.12.2016 and 31.12.2017.

31.12.2016 31.12.2017
Building (subject to 10% depreciation
for the current year) 60,000 ?
Furniture (subject to 10% depreciation
for the current year) - 20,000
Stock of Sports Materials 5,000 2,000
Prepaid Insurance 3,000 6,000
Subscription receivable 12,000 8,000
Advance Subscription 6,000 4,000
Locker rent receivable - 6,000
Advance Locker Rent received - 2,000
Outstanding Rent for Godown 6,000 3,000
12% General fund Investments 2,00,000 2,00,000
Accrued interest on above - 4,000
Cash balance 1,000 64,000
Bank Balance 2,000 -
Bank Overdraft - 2,000

Additional Information:
1. Entrance Fees received Rs.20,000, Life membership fees
received Rs.20,000 during the year.
2. Surplus from Income and expenditure Account Rs.60,000.
3. It is policy of the club to treat 60% of entrance fees and 40% of
life membership fees as revenue nature.
4. The furniture was purchased on 01.01.2017.

Prepare Opening and closing Balance sheet of Bharat sports Club

on 31st December,2016 and 31st December, 2017 respectively.

CA DARSHAN JAIN 1
Question 2 (Additional)

Elite club (Not registered under the companies Act, 2013) has
200 members with an annual subscription of Rs.3,600 payable
by every member. An analysis of subscriptions received by the
club during the accounting year ended on 31st March, 2015
revealed the following:

Rs.
For the year 2013-14 25,200
For the year 2014-15 6,98,400
For the year 2015-16 7,200
7,30,800

On 31st March, 2015 it was noted that a sum of Rs.3,600 was

still in arrears for the year ended 31st March, 2014. Calculate the
amount of subscription that will appear on the credit side of the
club’s Income and expenditure Account for the year ended 31 st
March, 2015. Also show how items relating to the subscriptions
will appear in the Balance Sheet dated 31st March, 2015.

CA DARSHAN JAIN 2
Question 3 (Additional)

The following is the income and expenditure Account Gama Club

for the year ended 31st March, 2017:

Income and Expenditure Account for the year ended 31st March,
2017.
Rs. Rs.
To Salaries 19,500 By Subscription 68,000
To Rent 4,500 By Donation 5,000
To Printing 750
To Insurance 500
To Audit Fees 750
To Games & sports 3,500
To Subscription Written off 350
To Miscellaneous Expenses 14,500
To Loss on sale of Furniture 2,500
To Depreciation:
Sports Equipment 6,000
Furniture 3,100
To Excess of income over
Expenditure 17,050
73,000 73,000

Additional Information:
31/03/2016 31/03/2017
Rs. Rs.
Subscription in arrears 2,600 3,700
Advance Subscriptions 1,000 1,500
Outstanding Expenses:
Rent 500 800
Salaries 1,200 350
Audit Fee 500 750
Sports Equipment less Depreciation 25,000 24,000
Furniture less Depreciation 30,000 27,900
Prepaid Insurance - 150

Book value of furniture sold is Rs.7,000. Entrance fees

capitalized Rs.4,000. On 1st April, 2016 there was no cash in
hand but overdraft was for Rs.15,000. On 31st March, 2017.
Cash in hand amounted to Rs.850 and the rest was Bank
Balance.
Prepare the Receipts and Payments Account of the club for the
year ended 31st March,2017.

CA DARSHAN JAIN 3
Question 4 (Question paper Nov.18)

You are provided with Following:

Balance sheet as on 31st March, 2017

Liabilities Rs. Assets Rs.
Capital Fund 1,06,200 Building 1,50,000
Subscription received in Outstanding
advance 6000 Subscription 3,800
Outstanding
Outstanding expenses 14,000 Locker Rent 2,400
Loan 40,000 Cash in hand 20,000
Sundry creditors 10,000
Total 1,76,200 Total 1,76,200

The Receipts and Payment Account for the year ended on

31st March, 2018
Receipts Rs. Payments Rs.
To Balance b/d By Expenses:
Cash in hand 20,000 For 2017 12,000
To Subscription For 2018 20,000 32,000
For 2017 2,000 By Land 40,000
For 2018 21,000 By Interest 4,000
By
Miscellaneous
For 2019 1,000 24,000 Expenses 4,700
To Entrance Fees 38,000 By Balance c/d
To Locker Rent 7,000 Cash in hand 18,300
To Sale Proceeds of old
Newspapers 1,000
To Miscellaneous Income 9,000

99,000 99,000

You are required to prepare the Income and Expenditure account

for the year ended 31st March, 2018 and a balance sheet as at
31st March, 2018 (Workings should form part of your answer).

CA DARSHAN JAIN 4
Question 5 (Question paper May 19)

From the following information supplied by M.B.S. club prepare

Receipts and Payments account and Income and Expenditure
Account for the year ended 31st March 2019.

01.04.2018 31.03.2019
Rs. Rs.
Outstanding Subscription 1,40,000 2,00,000
Advance Subscription 25,000 30,000
Outstanding Salaries 15,000 18,000
Cash in Hand and at Bank 1,10,000 ?
10% Investment 1,40,000 70,000
Furniture 28,000 14,000

Machinery 10,000 20,000

Sports Goods 15,000 25,000

Subscription for the year amount to Rs.3,00,000/- Salaries paid

Rs.60,000. Face Value of the Investment was Rs.1,75,000, 50%
of the investment was sold at 80% of face value. Interest on
investment was received Rs.14,000. Furniture was sold for
Rs.8,000 at the beginning of the year. Machinery and sports
Goods Purchased and put to use at the last date of the year.
Charge depreciation @15% p.a. on Machinery and sports goods
and @10% p.a. on Furniture.

Following expenses were made during the year:

Sports Expenses: Rs.50,000.
Rent: Rs.24,000 out of which Rs.2,000 outstanding.
Misc. expenses: Rs.5,000.

CA DARSHAN JAIN 5
Question 6 (Question paper Nov. 19)

From the following Income and Expenditure account and balance

sheet of club, prepare its Receipts and payments Account and
Subscription account for the year ended 31st March 2019:

Income and Expenditure Account for the year 2018-19

Particulars Rs. Particulars Rs.
To Upkeep of Ground 11,000 By Subscription 19,052
By Sale of
To Printing 1,100 Newspaper (Old) 286
To salaries 11,100 By Lectures (Fee) 1,650
To Depreciation on
Furniture 1,100 By Entrance Fee 2,145
To Rent 1,660 By Misc. Income 440
By Deficit 2,387
25,960 25,960

Balance sheet as on 31st March 2019

Liabilities Rs. Assets Rs.
Subscription in advance
(2019-20) 110 Furniture 9,900
Ground and
Prize Fund: Building 51,700
Opening balance 27,500 Prize Fund
Investment 22,000
Add: Interest 1,100 Cash in hand 2,530
Subscription
(Outstanding)
28,600 (2018-2019) 770
Less: Prizes given 2,200 26,400
General Fund:
Opening balance 62,062
Less: Deficit 2,387

59,675
Add: Entrance Fee 715 60,390

86,900 86,900

The following adjustment have been made in the above accounts:

1. Upkeep of ground Rs.660 and printing Rs.264 relating to 2017-

18 were paid in 2018-19.

CA DARSHAN JAIN 6
2. One fourth of entrance fee has been capitalized by transfer to
general fund.
3. Subscription outstanding in 2017-18 was Rs.880 and for 2018-
19 Rs.770.
4. Subscription received in advance in 2017-18 was Rs.220 and
in 2018-19 for 2019-20 was Rs.110.
5. Furniture was purchased during the year.

CA DARSHAN JAIN 7
Question 7 (Question paper Nov. 20)

From the following balances and particulars of AS College,

prepare Income & Expenditure Account for the year ended
March, 2020 and a Balance Sheet as on the date:

Particulars Amount Amount

Security Deposit - Students - 1,55,000
Capital Fund - 13,08,000
Building Fund - 19,10,000
Tuition fee Received - 8,10,000
Government Grants - 5,01,000
Interest & Dividends on Investments - 1,75,000
Hostel Room Rent - 1,65,000
Mess Receipts (Net) - 2,05,000
College Stores - Sales - 7,60,000
Outstanding expenses - 2,35,000
Stock of Stores and Supplies
(opening) 3,10,000 -
Purchases - Stores & Supplies 8,20,000 -
Salaries - Teaching 8,75,000 -
Salaries - Research 1,25,000 -
Scholarships 85,000 -
Students Welfare expenses 37,000 -
Games & Sports expenses 52,000 -
Other investments 12,75,000 -
Land 1,50,000 -
Building 15,50,500 -
Plant and Machinery 8,50,000 -
Furniture and Fittings 5,40,000 -
Motor Vehicle 2,40,000 -
Provision for Depreciation : - -
Building - 4,90,000
Plant & Equipment - 5,05,000
Furniture and Fittings - 3,26,000
Cash at Bank 3,16,000 -
Library 3,20,000 -
Total 75,45,000 75,45,000

CA DARSHAN JAIN 8
Adjustments:
(a) Materials & Supplies consumed: (From college stores)

Teaching - Rs. 52,000

Research - Rs. 1,45,000
Students Welfare - Rs. 78,000
Games or Sports - Rs. 24,000
(b) Tuition fee receivable from Government for backward
class Scholars – Rs. 82,000.
(c) Stores selling prices are fixed to give a net profit of 15%
on selling price.
(d) Depreciation is provided on straight line basis at the
following rates:

Building 5%
Plant & Equipment 10%
Furniture & Fixture 10%
Motor Vehicle 20%

CA DARSHAN JAIN 9
Question 8 (Question paper Jan. 21)
From the following Income and Expenditure Account and
additional information of ATK Club, prepare Receipts and
Payments Accounts and Balance Sheet of the club as on 31th
March, 2020.
Income and Expenditure A/c for the year ending 31st March,
2020
Expenditure Amount Income Amount
To Salaries 4,80,000 By Subscription 6,80,000
To Printing and
Stationery 24,000 By Entrance Fees 16,000
To postage 2,000 By Misc. Income 1,44,000
To Telephone 6,000
To office expenses 48,000
To Bank Interest 22,000
To Audit Fees 10,000
To Annual General
Meeting Exp. 1,00,000
To Depreciation (Sports
Equipment) 28,000
To Surplus 1,20,000
Total 8,40,000 Total 8,40,000

Additional Information:

As ON 31st
As on 31st
March,
March, 2019
Particulars 2020
Subscription Outstanding 64,000 72,000
Subscription Received in advance 52,000 33,600
Salaries Outstanding 24,000 32,000
Audit Fees Payable 8,000 10,000
Bank Loan 1,20,000 1,20,000
Value of Sports Equipment 2,08,000 2,52,000
Value of Club Premises 7,60,000 7,60,000
Cash in Hand ? 1,14,000

CA DARSHAN JAIN 10
Question 9 (Question paper July 21)
Summary of Receipts and Payments of AMA Society for the year
ended 31st March, 2021 are as follows:

Receipts Amount Payments Amount

Payments for
Medicine
Subscription Received 5,00,000 Supply 3,00,000
Donation Raised for
meeting revenue Honorarium to
expenditure 1,50,000 Doctors 1,00,000
Interest on Investments
@ 9% p.a. 90,000 Salaries 2,80,000
Sundry
Charity Show Collection 1,25,000 Expenses 10,000
Equipment
Purchase 1,50,000
Charity Show
Expenses 15,000

Additional Information:
Particulars 01.04.2020 31.03.2021
Subscription due 15,000 22,000
Subscription received in advance 12,000 7,000
Stock of medicine 1,00,000 1,50,000
Amount due for medicine supply 90,000 1,30,000
Value of equipment 2,10,000 3,00,000
Value of building 5,00,00 4,80,000
Cash Balance 80,000 90,000
Opening Balance of Capital Fund 18,03,000

You are required to prepare:

(i) Income and Expenditure Account for the year ended 31 st
March, 2021.
(ii) Balance Sheet as on 31st March, 2021.

CA DARSHAN JAIN 11
Question 10 (RTP May 18 & MTP May 20)

Smith Library society showed the following position on 31st

March, 2017:

Balance Sheet as on 31st March, 2017

Liabilities Rs. Assets Rs.
Capital Fund 7,93,000 Electrical fittings 1,50,000
Expenses Payable 7,000 Furniture 50,000
Books 4,00,000
Investments in
securities 1,50,000
Cash at bank 25,000
Cash in Hand 25,000

8,00,000 8,00,000

The receipts and payments account for the year ended on 31 st

March, 2018 is given below:

Rs. Rs.
By Electric
To Balance b/d charges 7,200
By postage and
Cash at bank 25,000 stationery 5,000
By telephone
Cash in Hand 25,000 50,000 charges 5,000
By Books
To Entrance fee 30,000 Purchased 60,000
To Membership By Outstanding
Subscription 2,00,000 expenses paid 7,000
To Sale proceeds of old
papers 1,500 By Rent 88,000
By Investment in
To Hire of Lecture Hall 20,000 securities 40,000
To Interest on
securities 8,000 By Salaries 66,000
By Balance c/d
Cash at Bank 20,000
Cash in hand 11,300

3,09,500 3,09,500

CA DARSHAN JAIN 12
You are required to prepare income and expenditure account for
the year ended 31st March, 2018 and a Balance sheet as at 31st
March, 2018 after making the following adjustments:

Membership subscription included Rs.10,000 received in

advance.

Provide for outstanding Rent Rs.4,000 and Salaries Rs.3,000.

Books to be depreciated @ 10% Including additions. Electrical

fittings and Furniture are also to be depreciated at the same rate.

75% of the entrance fees is to be capitalized.

Interest on securities is to be calculated @5% p.a. including

purchases made on 1.10.2017 for Rs.40,000.

CA DARSHAN JAIN 13
Question 11 (RTP Nov 18 & RTP Nov. 20)

The following information of M/s. TT Club are related for the year
ended 31st March, 2018:

1.
As on As on
Balances 01.04.2017 31.3.2018
Rs. Rs.
Stock of Sports Material 75,000 1,12,500
Amount Due for Sports Material 67,500 97,500
Subscription Due 11,250 16,500
Subscription Received in advance 9,000 5,250

2. Subscription Received during the year Rs.3,75,000

3. Payments for Sports Material During the year Rs.2,25,000

You are required to:

a) Calculate the amount of subscription and sports material that
will appear in Income & expenditure Account for the year
ended 31.03.2018 and
b) Also show how these items would appear In the Balance sheet
as on 31.03.2018.

CA DARSHAN JAIN 14
Question 12 (RTP May 19)

The receipts and payments account of Trustwell Club prepared

on 31st March, 2018 is as follows:

Receipts and Payments Account

Receipts Rs. Payments Rs.
To Balance b/d 450 By Expenses 6,300
(including
payments for
sports material
Rs.2,700)
To Annual 4,590 By Loss on Sale 180
Income from of Furniture
Subscription (Cost price
Rs.450)
Add: Outstanding 180 By Balance c/d 90,450
of last year
received this year
4,770
Less: Prepaid of 90 4,680
Last year
To Other fees 1,800
To Donation for 90,000
Building
96,930 96,930

Additional information:

Trustwell club balances as on 1.4.2017:-

Furniture Rs.1,800; Investment at 5% Rs.27,000;
Sports Material Rs.6,660;

Balances as on 31.3.2018: Subscription Receivable Rs.270;

Subscription received in advance Rs.90;
Stock of sports material Rs.1,800.

Do you agree with above Receipts and Payments account? If not,

prepare correct Receipts and Payments account and Income and
expenditure account for the year ended 31st March, 2018 and
Balance sheet on that date.

CA DARSHAN JAIN 15
Question 13 (RTP Nov 19)

From the following data, prepare an Income and expenditure

Account for the year ended 31st December 2019, and Balance
sheet as at that date of the Jeevan Hospital:

Receipts and Payments Account for the

Year ended 31st December, 2019
Receipts Rs. Payments Rs.
To Balance b/d By Salaries:
Cash 800 (Rs.7,200 for 31,200
2018)
Bank 5,200 6,000 By Hospital 17,000
equipment
To By Furniture 6,000
Subscriptions: Purchased
For 2018 5,100 By Additions to 50,000
Building
For 2019 24,500 By Printing and 2,400
Stationery
For 2020 2,400 By Diet 15,600
Expenses
To Government By Rent and 2,000
Grant: Rates (Rs.300
for 2020)
For Building 80,000 By Electricity 2,400
and water
charges
For Maintenance 20,000 By Office 2,000
expenses
Fees from 4,800 By Investments 20,000
Sundry Patients
To Donations 8,000 By Balances:
(Not to be
capitalized)
To Net 6,000 Cash 1,400
collections from
benefit Shows
Bank 6,800 8,200

1,56,800 1,56,800

Additional Information:

CA DARSHAN JAIN 16
Value of Building under construction as on 31.12.2019 is
Rs.1,40,000.
Value of Hospital equipment on 31.12.2019 Rs.51,000.
Building Fund as on 1.1.2019 Rs.80,000.
Subscription in arrears as on 31.12.2018 Rs.6,500.
Investments in 8% Govt. securities were made on 1st July, 2019.

CA DARSHAN JAIN 17
Question 14 (RTP May 20)

Doctor Dinesh after retiring from Govt. service, started private

practice on 1st April, 2018 with Rs.1,00,000 of his own and
Rs.1,50,000 borrowed at an interest of 12% per annum on the
security of his life policies. His accounts for the year were kept on
a cash basis and the following is his summarized cash account:

Receipts Rs. Payments Rs.

Medicines
Own capital 1,00,000 purchased 1,22,500
Surgical
Loan 1,50,000 equipment’s 1,25,000
Prescription fees 3,30,000 Motor car 1,60,000
Visiting fees 1,25,000 Motor car expenses 60,000
Fees from Lectures 12,000 wages and salaries 52,500
Pension received 1,50,000 Rent of Clinic 30,000
General charges 24,500
Household expenses 90,000
Household
Furniture 12,500
Expenses on
daughter's marriage 1,07,500
Interest on Loan 18,000
Balance at bank 55,000
Cash in Hand 9,500

One-third of the motor car expense may be treated as applicable

to the private use of car and Rs.15,000 of salaries are in respect
of domestic servants.

The stock of medicines in hand on 31st March, 2019 was Valued

at Rs.47,500.

You are required to prepare his capital account and income and
expenditure account for the year ended 31st March, 2019 and
balance sheet as on that date. Ignore depreciation of fixed assets.

CA DARSHAN JAIN 18
Question 15 (RTP May 21)
The following is the Receipts and payments account of Rotary
Club for the year ended on 31st March, 2020.

Receipts and payments A/c for the year ended on

31st march 2020
Dr Cr
Amoun
Receipts Amount Payments t
To balance b/d 8,450 By Salaries and wages 12,250
By Supply of
To Subscription 23,000 refreshment 18,250
To Sale of
refreshments 22,000 By Sports equipment 27,500
BY Telephone
To Entrance fees 26,000 Charges 2,800
To interest on
investments @ 7% 4,550 By Electricity charges 15,600
By Honorarium
charges 6,500
By balance c/d 1,100
Total 84,000 Total 84,000

Additional information:
1. Following are the assets and liabilities on 31st March, 2019.
Assets - Sports equipment- Rs. 32,000; Subscription in
arrears- Rs. 7,600; Furniture- Rs. 12,480
Liabilities - Outstanding Electricity charges- Rs. 5,400;
Subscription in advance- Rs. 6,250
2. Following are the assets and liabilities on 31st March, 2020.
Assets - Sports equipment- Rs. 50,500; Subscription in
arrears- Rs. 5,200; Furniture- Rs. 11,180
Liabilities - Outstanding Electricity charges- Rs. 3,800;
Subscription in advance- Rs. 4,850
3. 50% of the entrance fees to be capitalized.
4. Interest on the investments is being received in full, and the
investments have been made on 1.4.2019.
You are required to prepare Income and Expenditure account
and the Closing balance sheet as of 31st March, 2020 in the
books of Rotary Club.

CA DARSHAN JAIN 19
Question 16 (RTP Dec. 21)

The receipts and payments account of Peppapig Club prepared

on 31st March, 2021 is as follows:

Receipts and Payments Account

Receipts Rs. Payments Rs.
To Balance b/d 900 By Expenses 12,600
(including
payments for
sports material
Rs.5,400)
To Annual 9,180 By Loss on Sale of 360
Income from Furniture (Cost
Subscription price Rs.900)
Add: 360 By Balance c/d 1,80,900
Outstanding of
last year received
this year
9,540
Less: Prepaid of 180 9,360
Last year
To Other fees 3,600
To Donation for 1,80,000
Building
1,93,860 1,93,860

Additional information:

Peppapig club balances as on 1.4.2020:-

Furniture Rs.3,600; Investment at 5% Rs.54,000;
Sports Material Rs.13,320;

Balances as on 31.3.2021 : Subscription Receivable Rs.540;

Subscription received in advance Rs.180;
Stock of sports material Rs.3,600.

Do you agree with above Receipts and Payments account? If not,

prepare correct Receipts and Payments account and Income and
expenditure account for the year ended 31st March, 2021 and
Balance sheet on that date.

CA DARSHAN JAIN 20
Question 17 (MTP Nov. 2019)

From the following receipts and payments account of Mumbai

Club, prepare income and expenditure account for the year
ended 31.12.2018 and its balance sheet as on that date:

Receipts Rs. Payments Rs.

Cash in Hand 4,000 Salary 2,000
Cash at Bank 10,000 Repair expenses 500
Purchase of
Donations 5,000 furniture 6,000
Subscriptions 12,000 Misc. Expenses 500
Purchase of
Entrance fees 1,000 Investments 6,000
Interest on Insurance
investments 100 premium 200
Interest received
from X Bank 400 Billiard table 8,000
Sale of old
Newspaper 150 Paper, Ink etc. 150
Sale of Drama
tickets 1,050 Drama expenses 500
Cash in hand
(closing) 2,650
Cash at bank
(closing) 7,200
33,700 33,700

Information:

1. Subscription in arrear for 2018 Rs.900 and subscription in

advance for 2019 Rs.350
2. Insurance premium outstanding Rs.40
3. Misc. expenses prepaid Rs.90
4. 50% of donation is to be capitalized
5. Entrance fees are to be treated as revenue income
6. 8% interest has accrued on investment for five months
7. Billiard table costing Rs.30,000 was purchased during the last
year and Rs.22,000 were paid for it.

CA DARSHAN JAIN 21
Question 18 (MTP Nov. 20)

The following information of M/s. Rose Club are related for the
year ended 31st March, 2020:

1.
As on As on
Balances 01.04.2019 31.3.2020
Rs. Rs.
Stock of Sports Material 2,25,000 3,37,500
Amount Due for Sports
Material 2,02,500 2,92,500
Subscription Due 33,750 49,500
Subscription Received in
advance 27,000 15,750

2. Subscription Received during the year Rs.11,25,000

3. Payments for Sports Material During the year Rs. 6,75,000

You are required to Calculate the amount of subscription and

sports material that will appear in Income & expenditure Account
for the year ended 31.03.2020.

CA DARSHAN JAIN 22
Question19 (MTP May 21 S-I)
From the following data, prepare an Income and expenditure
Account for the year ended 31st December 2020, and Balance
sheet as at that date of the New Max Hospital:

Receipts and Payments Account for the

Year ended 31st December, 2020

Receipts Rs. Payments Rs.

To Balance By Salaries:
b/d
400 (Rs.3,600 for 15,600
Cash 2019)
2,600 3,000 By Hospital 8,500
Bank equipment
To By Furniture 3,000
Subscriptions: Purchased
For 2018 2,550 By Additions 25,000
to Building
For 2019 12,250 By Printing 1,200
and
Stationery
For 2020 1,200 By Diet 7,800
Expenses
To By Rent and 1,000
Government Rates (Rs.150
Grant: for 2021)
For Building 40,000 By Electricity 1,200
and water
charges
For 10,000 By Office 1,000
Maintenance expenses
Fees from 2,400 By 10,000
Sundry Investments
Patients
To Donations 4,000 By Balances:
(Not to be
capitalized)
To Net 3,000 Cash 700
collections
from benefit
Shows
Bank 3,400 4,100

78,400 78,400

CA DARSHAN JAIN 23
Additional Information:

Value of Building under construction as on 31.12.2020 is

Rs.70,000.
Value of Hospital equipment on 31.12.2020 Rs.25,500.
Building Fund as on 1.1.2020 Rs.40,000.
Subscription in arrears as on 31.12.2019 Rs.3,250.
Investments in 8% Govt. securities were made on 1st July, 2020.

CA DARSHAN JAIN 24
Question 20 (MTP May 21 – S II)

From the following information supplied by New Punjabi Bagh

Club prepare Receipts and Payments account and Income and
Expenditure Account for the year ended 31st March 2021.

01.04.2020 31.03.2021
Rs. Rs.
Outstanding Subscription 70,000 1,00,000
Advance Subscription 12,500 15,000
Outstanding Salaries 7,500 9,000
Cash in Hand and at Bank 55,000 ?
10% Investment 70,000 35,000
Furniture 14,000 7,000

Machinery 5,000 10,000

Sports Goods 7,500 12,500

Subscription for the year amount to Rs.1,50,000/- Salaries paid

Rs.30,000. Face Value of the Investment was Rs.87,500, 50% of
the investment was sold at 80% of face value. Interest on
investment was received Rs.7,000. Furniture was sold for
Rs.4,000 at the beginning of the year. Machinery and sports
Goods Purchased and put to use at the last date of the year.
Charge depreciation @15% p.a. on Machinery and sports goods
and @10% p.a. on Furniture.

Following expenses were made during the year:

Sports Expenses: Rs.25,000.
Rent: Rs.12,000 out of which Rs.1,000 outstanding.
Misc. expenses: Rs.2,500.

CA DARSHAN JAIN 25
 QUESTION NO 1
In The Books of Bharat Sports Club
Balance Sheet (Opening)
As on 31st Dec 2016
Liabilities Amount Assets Amount
Building 60000
Capital Fund (Bal fig) 2,71,000 Stock of sports Material 5000
Outstanding rent for Godown 6000 Prepaid insurance 3000
Advance Subscription 6000 Subscription Recievable 12000
12% General Fund Investments 200000
Cash in Hand 1,000
Bank Balance 2,000
2,83,000 2,83,000

Balance Sheet (Closing)

As on 31st Dec 2017
Liabilities Amount Assets Amount
Capital Fund 271000
Add - Surplus 60000 Building 54000
Add - Entrance Fees (40% of 20000) 8000 Furniture 18000
Add - Life mem. Fees (60% of 20000) 12000 3,51,000 Stock of sports Material 2000
Prepaid insurance 6000
Bank overdraft 2,000 Subscription Recievable 8000
Advance Locker Rent Received 2,000
Outstanding rent for Godown 3000 Locker Rent Recievable 6000
Advance Subscription 4000 12% General Fund Investments 200000
Interest Accrued in Investments 4000
Cash in Hand 64,000

3,62,000 3,62,000
 QUESTION NO 2
SUBSCRIPTION A/C
Particulars Amount Particulars Amount
TO BAL B/D 28800
TO I & E A/C (200*3600) 7,20,000 BY CASH/BANK A/C 7,30,800
TO BAL C/D 7200 BY BAL C/D (Bal Fig) 25,200
756000 756000

Balance Sheet As on 31st March 2015

Particulars Amount Particulars Amount
Subscription Received in Advance 7200 Oustanding Subscription (3600+21600) 25200
 QUESTION NO 3
In The Books of Gama Club
Reciepts and Payments A/c
for the year ended 31St march 2017
Receipts Amount Payments Amount
By Bal B/d
To Subscription 67050 Bank O/d 15000
To Donation 5000 By Printing 750
To Sale of Furniture 4500 By Games & Sports 3500
To Entrance Fees 4000 By Misc. Expenses 14500
By Insurance 650
By Furniture 8000
By Sports Equipment 5000
By Audit Fees 500
By Salaries 20350
By Rent 4200
By Bal C/d
Cash in Hand 850
Cash at Bank 7,250
80550 80550

WORKING NOTES
Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 2600 By Bal B/d 1000
To Income & Exp A/c 68000 By I & E A/c (Subscription W/off) 350
By Cash/Bank A/c (Bal Fig) 67,050
To Bal C/d 1500 By Bal C/d 3,700
72,100 72,100

Rent A/c
Particulars Amount Particulars Amount
By Bal B/d 500
To Cash/Bank A/c (Bal Fig) 4,200 By Income & Exp A/c 4,500
To Bal C/d 800
5,000 5,000

Salaries A/c
Particulars Amount Particulars Amount
By Bal B/d 1200
To Cash/Bank A/c (Bal Fig) 20,350 By Income & Exp A/c 19,500
To Bal C/d 350
20,700 20,700

Audit Fees A/c

Particulars Amount Particulars Amount
By Bal B/d 500
To Cash/Bank A/c (Bal Fig) 500 By Income & Exp A/c 750
To Bal C/d 750
1,250 1,250

Sports Equipment A/c

Particulars Amount Particulars Amount
To Bal B/d 25000
To Cash/Bank A/c (Bal Fig) 5000 By Depreciation 6,000
By Bal C/d 24,000
30,000 30,000

Furniture A/c
Particulars Amount Particulars Amount
To Bal B/d 30000
By Cash/Bank A/c 4500
To Cash/Bank A/c (Bal Fig) 8000 By Loss on Sale of Furniture 2500
By Depreciation 3,100
By Bal C/d 27,900
38,000 38,000

Insurance A/c
Particulars Amount Particulars Amount

To Cash/Bank A/c (Bal Fig) 650 By Income & Exp A/c 500
By Bal C/d 150
650 650
 QUESTION NO 4
In The Books of ….....
Income & Expenditure A/c
for the year ended 31St March 2018
Expenditure Amount Income Amount
To Expenses 20000 By Subscription 27000
To Interest 4000 By Sale of Old Newspaper 1000
To Miscellaneous Expenses 4700 By Miscellaneous Income 9000
By Locker Rent 4600
To Surplus Transferred to Capital Fund 12900

41600 41600

Balance Sheet (Closing)

As on 31st March 2018
Liabilities Amount Assets Amount
Capital Fund 106200 Building 150000
Add - Entrance Fees 38000 Land 40000
Add - Surplus 12900 157100 Outstanding Subscription 1800
Loan 40000 Cash in Hand 18300
Sundry Creditors 10000
Subscription Received in Advance 1000
Outstanding Expenses 2000

2,10,100 2,10,100

WORKING NOTES
Subscription A/c
Particulars Amount Particulars Amount
To Oustanding Subscription 3800 By Subscription Received in Advance 6000
To Income & Expenditure A/c (Bal Fig) 27,000 By Cash/Bank A/c 24,000
To Subscription Received in Advance 1000 By Oustanding Subscription 1,800
31,800 31,800

Expenses A/c
Particulars Amount Particulars Amount
By Bal B/d 14000
To Cash/Bank A/c 32,000 By Income & Expenditure A/c (Bal Fig) 20,000
To Bal C/d 2000
34,000 34,000

Locker Rent A/c

Particulars Amount Particulars Amount
To Bal B/d 2400
To Income & Expenditure A/c (Bal Fig) 4,600 By Cash/Bank A/c 7,000

7,000 7,000
 QUESTION NO 5
In The Books of MBS Club
Receipts & payment A/c
for the year ended 31St March 2019
Receipts Amount Payments Amount
To Bal B/d
Cash in Hand & at Bank 110000 By Salary 60000
To Sale of 10% Investments 70000 By Sports Expenses 50000
To Interest on 10% Investments 14000 By Misc Expenses 5000
To Sale of Furniture 8000 By Sports Goods 10000
To Subscription 245000 By Machinery 10000
By Rent 22000
By Bal C/d
Cash in Hand & at Bank 290000

447000 447000

Income & Expenditure A/c

for the year ended 31St March 2019
Expenditure Amount Income Amount

To Depreciation By Subscription 300000

Machinery 1500 By Interest on Investment 17500
Sports Goods 2250
Furniture 1400 5150
To Sports Expenses 50000
To Rent 24000
To Misc Expenses 5000
To Loss on Sale of Furniture 6000
To Salary 63000
To Surplus 164350
317500 317500

Working Notes

Subscription A/c
Particulars Amount Particulars Amount
To bal B/d 140000 By Bal B/d 25000
To Income & Exp A/c 3,00,000 By Cash /Bank (Bal Fig) 2,45,000
To Bal C/d 30000 By Bal C/d 2,00,000
4,70,000 4,70,000

Salary A/c
Particulars Amount Particulars Amount
By Bal B/d 15000
To Cash/Bank A/c 60,000 By Income & Exp a/c (Bal Fig) 63,000
To Bal C/d 18000
78,000 78,000

10% Investment A/c

Particulars Amount Particulars Amount
To Bal B/d 140000
By Cash/Bank A/c (175000*50%*80%) 70,000
By Bal C/d 70,000
1,40,000 1,40,000

Furniture A/c
Particulars Amount Particulars Amount
To Bal B/d 28000 By Cash/Bank A/c 8000
By Loss on Sale of Furniture (Bal Fig) 6,000
 By Depreciation 1,400
By Bal C/d (14000-1400) 12,600
28,000 28,000

Machinery A/c
Particulars Amount Particulars Amount
To Bal B/d 10000
To Cash/Bank A/c (Bal Fig) 10,000 By Depreciation 1,500
By Bal C/d (20000-1500) 18,500
20,000 20,000

Sports Goods A/c

Particulars Amount Particulars Amount
To Bal B/d 15000
To Cash/Bank A/c (Bal Fig) 10,000 By Depreciation 2,250
By Bal C/d (25000-2250) 22,750
25,000 25,000

Rent A/c
Particulars Amount Particulars Amount

To Cas/Bank A/c (Bal Fig) 22,000 By I & E A/c 24,000

To Bal C/d 2000
24,000 24,000

Interest on Investment A/c

Particulars Amount Particulars Amount

To Income & Exp A/c (175000*10%) 17,500 By Cash/Bank A/c 14,000

By Bal C/d (Int Accrued) (Bal Fig) 3,500
17,500 17,500
 QUESTION NO 6
In The Books of Club
Reciepts and Payments A/c
for the year ended 31st march 2019
Receipts Amount Payments Amount
To Bal B/d (bal Fig) 16126 By Furniture 11000
To Subscription 19052 By Upkeep of Ground 11,660
To Sale of Old newspaper 286 By Printing 1364
To Lectures 1650 By Salary 11100
To Misc. Income 440 By Rent 1660
To Interest on Prize Fund 1100 By Prizes 2200
To Entrance Fees 2860 By Bal C/d 2,530
41514 41514

Subscription A/c
Particulars Amount Particulars Amount
To Oustanding subscription (op) 880 By Subscription recd in advance (Op) 220
To Income & Exp A/c 19052 By Cash/Bank A/c (bal Fig) 19,052
To Subscription recd in advance (Cl) 110 By Outstanding Subscription (Cl) 770
20,042 20,042

WORKING NOTES
Upkeep of Ground A/c
Particulars Amount Particulars Amount
By Bal B/d 660
To Cash/Bank A/c (Bal Fig) 11,660 By Income & Exp A/c 11,000

11,660 11,660

Printing A/c
Particulars Amount Particulars Amount
By Bal B/d 264
To Cash/Bank A/c (Bal Fig) 1,364 By Income & Exp A/c 1,100

1,364 1,364

Entrance fees A/c

Particulars Amount Particulars Amount

To Income & Expenditure A/c 2,145 By Cash/Bank A/c (Bal Fig) 2,860
To General Fund 715
2,860 2,860

Furniture A/c
Particulars Amount Particulars Amount

To Cash/ Bank A/c (Bal Fig) 11,000 By Depreciation 1,100

By Bal C/d 9,900
11,000 11,000
 QUESTION NO 7
In The Books of AS College
Income & Expenditure A/c
for the year ended 31st March 2020
Expenditure Amount Income Amount
To Salaries By Government Grants 501000
Teaching 875000 By Interest & Dividend on Investments 175000
Research 125000 1000000 By Hostel room Rent 165000
To Scholarship 85000 By Mess Reciepts (net) 205000
To Student Welfare Expenses 37000 By Tution Fees 8,92,000
To Games & Sports Expenses 52000 By Profit from Stores 1,14,000
To Material Consumed
Teaching 52000
Research 145000
Student Welfare 78000
Games or Sports 24000 299000
To Depreciation
Building 77500
Plant & Equipment 85000
Furniture 54000
Motor Vehicle 48000 264500

To Surplus 314500
2052000 2052000

Balance Sheet (Closing)

As on 31st March 2020
Liabilities Amount Assets Amount
Capital Fund 1308000 Land 150000
Add - Surplus 314500 1622500 Building 1550000
Less - Provision for Depn 567500 982500
Outstanding Expenses 235000 Plant & Equipment 850000
Building Fund 1910000 Less - Provision for Depn 590000 260000
Security Deposit 155000 Furniture & Fittings 540000
Less - Provision for Depn 380000 160000
Motor vehicle 240000
Less - Depn at 20% 48000 192000
Other Investements 1275000
Cash at Bank 316000
Library 320000
Tution Fees recievable From Govt 82000
Stock at Stores 185000

39,22,500 39,22,500

WORKING NOTES
Stores & Supplies A/c
Particulars Amount Particulars Amount
To Opening Stock 310000 By Sales 760000
To Purchases 8,20,000 By material Consumed 299000
By Closing Stock 185000
To Profit from Stores (Bal Fig) 1,14,000

12,44,000 12,44,000

Tution Fees A/c

Particulars Amount Particulars Amount

By cash /Bank A/c 8,10,000

To Income & Exp A/c (Bal Fig) 8,92,000 By Bal C/d 82,000
8,92,000 8,92,000

Provision for Depreciation on Building A/c

Particulars Amount Particulars Amount
By Bal B/d 490000
By Depreciation 77,500
To Bal C/d (Bal Fig) 5,67,500
5,67,500 5,67,500
 Provision for Depreciation on Plant & Equipments A/c
Particulars Amount Particulars Amount
By Bal B/d 505000
By Deprciation 85,000
To Bal C/d (Bal Fig) 5,90,000
5,90,000 5,90,000

Provision for Depreciation on Furniture & Fixture A/c

Particulars Amount Particulars Amount
By Bal B/d 326000
By Depreciation 54,000
To Bal C/d (Bal Fig) 3,80,000
3,80,000 3,80,000

Ascertainment of Cost of Closing Stock at Stores

Particulars Amount
A. Opening Stock 310000
B. Purchases 820000
C. Total Goods Available For Sale 1130000
D. Material Consumed 299000
E. Cost of Goods Sold (SP - Profit) (760000-114000) 646000
F. Closing Stock (C-D-E) 185000

Note for Typing Error - Balance of Building in Question Should Be 1550000 and not 1550500
 QUESTION NO 8
In The Books of ATK Club
Receipts & payment A/c
for the year ended 31St March 2020
Receipts Amount Payments Amount
To Bal B/d (Bal Fig) 54400 By Printing & Stationary 24000
To Entrance Fees 16000 By Postage 2000
To Misc Income 144000 By Telephone 6000
To Subscription 653600 By Office Expenses 48000
By Bank Interest 22000
By Annual Meeting Expenses 100000
By Sports Equipment 72000
By Audit Fees 8000
By Salaries 4,72,000

By Bal C/d 1,14,000

868000 868000

Balance Sheet (Closing)

As on 31st March 2020
Liabilities Amount Assets Amount
Capital Fund 882400 Sports Equipment 252000
Add - Surplus 120000 1002400 Club Premises 760000
Subscription Outstanding 72000
Bank Loan 120000 Cash in Hand 114000
Subscription Received in Advance 33600
Outstanding Salary 32000
Audit Fees Payable 10000

11,98,000 11,98,000

Working Notes
Balance Sheet (Opening)
As on 1st April 2019
Liabilities Amount Assets Amount
Sports Equipment 208000
Capital Fund (Bal Fig) 8,82,400 Club Premises 760000
Oustanding Salary 24,000 Subscription Outstanding 64000
Bank Loan 120000 Cash in Hand 54400
Subscription Received in Advance 52000
Audit Fees Payable 8000
10,86,400 10,86,400

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 64000 By Bal B/d 52000
To Income & Expenditure A/c 6,80,000 By Cash/Bank A/c (Bal Fig) 6,53,600
To Bal C/d 33600 By Bal C/d 72,000
7,77,600 7,77,600

Salaries A/c
Particulars Amount Particulars Amount
By Bal B/d 24000
To Cash/Bank A/c (Bal Fig) 4,72,000 By Income & Expenditure A/c 4,80,000
To Bal C/d 32000
5,04,000 5,04,000

Audit Fees A/c

Particulars Amount Particulars Amount
By Bal B/d 8000
To Cash/Bank A/c (Bal Fig) 8,000 By Income & Expenditure A/c 10,000

To Bal C/d 10000

18,000 18,000

Sports Equipment A/c

Particulars Amount Particulars Amount
To Bal B/d 208000
To Cash/ Bank A/c (Bal Fig) 72,000 By Depreciation A/c 28,000
By Bal C/d 2,52,000
2,80,000 2,80,000
 QUESTION NO 9
In The Books of AMA Society
Income & Expenditure A/c
for the year ended 31st March 2021
Expenditure Amount Income Amount

To Medicine Consumed 290000 By Subscription 512000

To Honararium to Doctor 100000
To Salaries 280000 By Donation 150000
To Sundry Expenses 10000 By Interest on Investments 90000
To Depreciation By Charity Show Collection 125000
Equipment 60000 Less - Charity Show Expenses 15000 110000
Building 20000 80000

To Surplus Trf to Capital Fund 102000

862000 862000

Balance Sheet (Closing)

As on 31st March 2021
Liabilities Amount Assets Amount

Capital Fund 1803000 Equipment 300000

Add - Surplus 102000 1905000 Building 480000
Creditors for Medicine Supply 130000 9% Investments 1000000
Subscription Received in Advance 7000 Outstanding Subscription 22000
Stock of Medicine 150000
Cash in Hand 90000

20,42,000 20,42,000

Working Notes
Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 15000 By Bal B/d 12000
To Income & Exp A/c (Bal Fig) 5,12,000 By Cash/Bank A/c 5,00,000
To Bal C/d 7000 By Bal C/d 22,000
5,34,000 5,34,000

Medicine A/c
Particulars Amount Particulars Amount
To Bal B/d 100000
To Purchase of Medicine 3,40,000 By Income & Exp A/c (Bal Fig) 2,90,000
By Bal C/d 1,50,000
4,40,000 4,40,000

Creditors for Medicine A/c

Particulars Amount Particulars Amount
By Bal B/d 90000
To Cash/Bank A/c 3,00,000 By Purchase of Medicine (Bal Fig) 3,40,000
To Bal C/d 130000
4,30,000 4,30,000

Equipments A/c
Particulars Amount Particulars Amount
To Bal B/d 210000
To Cash/Bank A/c 1,50,000 By Depreciation (Bal Fig) 60,000
By Bal C/d 3,00,000
3,60,000 3,60,000

Building A/c
Particulars Amount Particulars Amount
To Bal B/d 500000
By Depreciation (Bal Fig) 20,000
By Bal C/d 4,80,000
5,00,000 5,00,000
 QUESTION NO 10
In The Books of Smith Library Society
Income & Expenditure A/c
for the year ended 31St March 2018
Expenditure Amount Income Amount
By Subscription 190000
To Electric Charges 7200 By Entrance Fees (30000*25%) 7500
To Postage & Stationary 5000 By Sale Proceeds of Old papers 1500
To Telephone Charges 5000 By Hire Of Lecture Hall 20000
To Depreciation By Interest on Securities 8500
Books 46000
Electrical Equipment 15000 By Deficit Transferred to capital Fund 16700
Furniture 5000 66000
To Salary 69000
To Rent 92000

244200 244200

Balance Sheet (Closing)

As on 31st March 2018
Liabilities Amount Assets Amount
Capital Fund 793000 Electrical Fitting 150000
Add - Entrance Fees 22500 Less - Depreciation 15000 135000
Less - Deficit 16700 798800 Furniture 50000
Less - Depreciation 5000 45000
Books 414000
Oustanding Rent 4000 Investments 190000
Oustanding Salary 3000 Interest Accrued on Securities 500
Subscription Received in Advance 10000 Cash in Hand 11300
Cash at Bank 20000

8,15,800 8,15,800

WORKING NOTES
Subscription A/c
Particulars Amount Particulars Amount

To Income & Exp A/c (bal Fig) 1,90,000 By Cash/Bank A/c 2,00,000
To bal C/d 10000
2,00,000 2,00,000

Books A/c
Particulars Amount Particulars Amount
To Bal B/d 400000
To Cash/Bank A/c 60,000 By Depreciation (460000*10%) 46,000
By Bal C/d (Bal Fig) 4,14,000
4,60,000 4,60,000

Investment A/c
Particulars Amount Particulars Amount
To bal B/d 150000
To Cash/bank A/c 40,000
By Bal C/d (Bal Fig) 1,90,000
1,90,000 1,90,000

Rent A/c
Particulars Amount Particulars Amount

To Cash/bank A/c 88,000 By Income & Exp A/c (Bal fig) 92,000
To Bal C/d 4000
92,000 92,000
 Salary A/c
Particulars Amount Particulars Amount

To Cash/bank A/c 66,000 By Income & Exp A/c (Bal fig) 69,000
To Bal C/d 3000
69,000 69,000

Interest on Securities A/c

Particulars Amount Particulars Amount

To Income & Exp A/c 8,500 By Cash/Bank A/c 8,000

(150000*5%) + (40000*5%/12*6) By Bal C/d (Bal Fig) 500
8,500 8,500
 QUESTION NO 11
SUBSCRIPTION A/C
Particulars Amount Particulars Amount
TO BAL B/D (opening Sub rec.) 11250 BY BAL B/D (Op. Sub rec in advance) 9000
TO INCOME & EXP A/C (BAL FIG) 3,84,000 BY CASH/BANK A/C 3,75,000
TO BAL C/D (Cl. Sub rec in adv) 5250 BY BAL C/D (Cl. Subs rec.) 16,500
400500 400500

SPORTS MATERIAL A/C

Particulars Amount Particulars Amount
TO BAL B/D 75000
TO CREDITORS FOR SPORTS MAT. 2,55,000 BY Income & Exp A/c (BAL FIG) 2,17,500
BY BAL C/D 1,12,500
3,30,000 3,30,000

BALANCE SHEET AS ON 31-3-2018

Liabilities Amount Assets Amount
Subscription Received in Advance 5250 SPORTS MATERIAL 112500
Creditors for Sports material 97,500 OUTSTANDING SUBSCRIPTION 16,500

WORKING NOTES
CREDITORS FOR SPORTS MATERIAL A/C
Particulars Amount Particulars Amount
BY BAL B/D 67500
TO CASH/BANK A/C 2,25,000 BY SPORTS MATERIAL A/C (PUR) (BAL) 2,55,000
TO BAL C/D 97500
3,22,500 3,22,500
 QUESTION NO 12
In The Books of Trustwell Club
Receipts & payment A/c
for the year ended 31St March 2018
Receipts Amount Payments Amount
To Bal B/d 450
To Other Fees 1800 By Expenses 3600
To Donation for Building 90000 By Sports Material A/c 2700
To Sale of Furniture 270
To Subscription 4500 By Bal C/d (Bal Fig) 90720

97020 97020

Income & Expenditure A/c

for the year ended 31St March 2018
Expenditure Amount Income Amount

By Subscription 4590
To Expenses 3600 By Other Fees 1800
To Loss on Sale of Furniture 180 By Interest on Investments 1350
To Sports Material Used 7560
By Deficit (Bal Fig) 3600

11340 11340

Balance Sheet (Closing)

As on 31st March 2018
Liabilities Amount Assets Amount
Capital Fund 36000 Furniture 1350
Less - Deficit 3600 32400 Sports Material 1800
Cash in Hand 90720
Interest Accrued on Investment 1350
Building Donation 90000 5% Investments 27000
Subscription Received in Advance 90 Outstanding Subscription 270

1,22,490 1,22,490

Working Notes
Balance Sheet (Opening)
As on 1st April 2017
Liabilities Amount Assets Amount
Furniture 1800
Sports Material 6660
Capital Fund (Bal Fig) 36,000 5% Investments 27000
Subscription Received in Advance 90 Cash in Hand 450
Outstanding Subscription 180

36,090 36,090

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 180 By Bal b/d 90
To Income & Exp A/c 4,590 By Cash/Bank A/c (Bal Fig) 4,500
To Bal C/d 90 By Bal C/d 270
4,860 4,860

Sports Material A/c

Particulars Amount Particulars Amount
To Bal B/d 6660
To Cash/Bank A/c 2,700 By Income & Exp A/c (Bal Fig) 7,560
By Bal C/d 1,800
9,360 9,360

Furniture A/c
Particulars Amount Particulars Amount
To Bal B/d 1800
By Cash/Bank A/c 270
By Loss on Sale of Furniture 180
By Bal C/d (Bal Fig) 1,350
1,800 1,800

Interest on Investment A/c

Particulars Amount Particulars Amount

To Income & Exp A/c (27000*5%) 1,350 By Bal C/d (Bal Fig) (Interest Accrued) 1,350

1,350 1,350
 QUESTION NO 13
In The Books of Jeevan Hospital
Income & Expenditure A/c
for the year ended 31st December 2019
Expenditure Amount Income Amount
To Rent 1700 By Fees From Patients 4800
To Printing & Stationary 2400 By Subscription 24500
To Diet Expenses 15600 By Government Grant 20000
To Electricity & Water Charges 2400 By Donation 8000
To Office Expenses 2000 By Net Collection from Benefit Shows 6000
To Salaries 24000 By Interest on Investments 800

To Surplus Trf to Capital Fund 16000

64100 64100

Balance Sheet (Closing)

As on 31st December 2019
Liabilities Amount Assets Amount
Capital Fund 49300 Building 140000
Add - Surplus 16000 65300 Furniture 6000
Hospital Equipment 51000
Cash in Hand 1400
Building Fund 160000 Bank Balance 6800
Subscription Received in Advance 2400 Investments 20000
Prepaid Rent 300
Interest Accrued on Investment 800
Oustanding Subscription 1400

2,27,700 2,27,700

Working Notes
Balance Sheet (Opening)
As on 01-01-2019
Liabilities Amount Assets Amount
Building 90000
Capital Fund (Bal Fig) 49300 Hospital Equipment 34000
Cash in Hand 800
Building Fund 80000 Bank Balance 5200
Outsanding Salary 7200 Oustanding Subscription 6500

1,36,500 1,36,500

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 6500
To Income & Exp A/c (Bal Fig) 24,500 By Cash/Bank A/c 32,000
To Bal C/d 2400 By Bal C/d 1,400
33,400 33,400

Salaries A/c
Particulars Amount Particulars Amount
By Bal B/d 7200
To Cash/Bank A/c 31,200 By Income & Exp A/c (Bal Fig) 24,000

31,200 31,200

Hospital Equipment A/c

Particulars Amount Particulars Amount
To Bal B/d (Bal Fig) 34,000
To Cash/Bank A/c 17,000
By Bal C/d 51,000
51,000 51,000

Furniture A/c
Particulars Amount Particulars Amount

To Cash/Bank A/c 6,000

By Bal C/d 6,000
6,000 6,000

Building A/c
Particulars Amount Particulars Amount
To Bal B/d (Bal Fig) 90000
To Cash/Bank A/c 50,000
By Bal C/d 1,40,000
1,40,000 1,40,000

Rent A/c
Particulars Amount Particulars Amount

To Cash/ Bank A/c 2,000 By Income & Exp A/c (Bal Fig) 1,700
By Bal C/d 300
2,000 2,000

Building Fund A/c

Particulars Amount Particulars Amount
By Bal B/d 80000
By Cash/Bank A/c 80,000
To Bal C/d (Bal Fig) 160000
1,60,000 1,60,000

Interest on Investments
Particulars Amount Particulars Amount

To Income & Expenditure A/c 800

To Bal C/d (bal Fig) 800
800 800
 QUESTION NO 14
In The Books of Dinesh
Income & Expenditure A/c
for the year ended 31St March 2019
Expenditure Amount Income Amount
By Prescription Fees 330000
To Motor Car Expenses (60000*2/3) 40000 By Visiting Fees 125000
To Salaries 52500 By Fees from Lectures 12000
Less - Personal Expenses 15000 37500
To Rent of Clinic 30000
To General charges 24500
To Interest on Loan 18000
To Medicines Consumed 75000

To Surplus Trf. To Capital A/c 242000

467000 467000

Balance Sheet (Closing)

As on 31st March 2019
Liabilities Amount Assets Amount
Capital 247000 Surgical Equipments 125000
Loan 150000 Motor car 160000
Stock of Medicine 47500
Cash at Bank 55000
Cash in Hand 9500

3,97,000 3,97,000

Capital A/c
Particulars Amount Particulars Amount
By Cash/Bank A/c 100000
To Motor Car Expenses (60000*1/3) 20000 By Pension Recieved 150000
To Salaries 15000 By Surplus 242000
To Household Expenses 90000
To Household Furniture 12,500
To Expenses on Daughter's Marriage 107500
To Bal C/d (Bal Fig) 2,47,000
4,92,000 4,92,000

Working Notes
Medicine A/c
Particulars Amount Particulars Amount

To Cash/bank A/c 1,22,500 By Income & Exp A/c (Bal Fig) 75,000
By Bal C/d 47,500
1,22,500 1,22,500
 QUESTION NO 15
In The Books of Rotary Club
Income & Expenditure A/c
for the year ended 31st March 2020
Expenditure Amount Income Amount
By Subscription 22000
To Salaries & Wages 12250 By Sale of Refreshments 22000
To Telephone Charges 2800 Less - Supply of Refreshments 18250 3750
To Electricity Charges 14000 By Entrance Fees 13000
To Honararium Charges 6500 By Interest on Investments 4550
To Depreciation on Sports Equipment 9000 By Deficit (Bal Fig) 2550
To Depreciation on Furniture 1300

45850 45850

Balance Sheet (Closing)

As on 31st March 2020
Liabilities Amount Assets Amount
Capital Fund 113880 Sports Equipment 50500
Add - Entrance Fees 13000 Subscription in Arrears 5200
Less - Deficit 2550 124330 Furniture 11180
Outstanding Electricity Charges 3800 Cash & Bank Balance 1100
Subscription in Advance 4850 7% Investments 65000

1,32,980 1,32,980

Working Notes
Balance Sheet (Opening)
As on 31-03-2019
Liabilities Amount Assets Amount
Sports Equipment 32000
Capital Fund (Bal Fig) 1,13,880 Subscription in Arrears 7600
Furniture 12480
Outstanding Electricity Charges 5400 Cash & Bank Balance 8450
Subscription in Advance 6250 7% Investments 65000

1,25,530 1,25,530

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 7600 By Bal B/d 6250
To Income & Expenditure A/c (Bal Fig) 22,000 By Cash/Bank A/c 23,000
To Bal C/d 4850 By Bal C/d 5,200
34,450 34,450

Entrance Fees A/c

Particulars Amount Particulars Amount

To Capital Fund 13000 By Cash/Bank A/c 26,000

To Income & Expenditure A/c 13000
26,000 26,000

Sports Equipment A/c

Particulars Amount Particulars Amount
To Bal B/d 32000
To Cash/Bank A/c 27,500 By Depreciation (Bal Fig) 9,000
By Bal C/d 50,500
59,500 59,500

Electricity Charges A/c

Particulars Amount Particulars Amount
By Bal B/d 5400
To Cash/Bank A/c 15,600 By Income & Expenditure A/c (Bal Fig) 14,000
To Bal C/d 3800
19,400 19,400

Furniture
Particulars Amount Particulars Amount
To Bal B/d 12480
By Depreciation (Bal Fig) 1,300
By Bal C/d 11,180
12,480 12,480
 QUESTION NO 16
In The Books of Peppapig Club
Receipts & payment A/c
for the year ended 31St March 2021
Receipts Amount Payments Amount
To Bal B/d 900
To Other Fees 3600 By Expenses 7200
To Donation for Building 180000 By Sports Material A/c 5400
To Sale of Furniture 540
To Subscription 9000 By Bal C/d (Bal Fig) 181440

194040 194040

Income & Expenditure A/c

for the year ended 31St March 2021
Expenditure Amount Income Amount

By Subscription 9180
To Expenses 7200 By Other Fees 3600
To Loss on Sale of Furniture 360 By Interest on Investments 2700
To Sports Material Used 15120
By Deficit (Bal Fig) 7200

22680 22680

Balance Sheet (Closing)

As on 31st March 2021
Liabilities Amount Assets Amount
Capital Fund 72000 Furniture 2700
Less - Deficit 7200 64800 Sports Material 3600
Cash in Hand 181440
Interest Accrued on Investment 2700
Building Donation 180000 5% Investments 54000
Subscription Received in Advance 180 Outstanding Subscription 540

2,44,980 2,44,980

Working Notes
Balance Sheet (Opening)
As on 1st April 2020
Liabilities Amount Assets Amount
Furniture 3600
Sports Material 13320
Capital Fund (Bal Fig) 72,000 5% Investments 54000
Subscription Received in Advance 180 Cash in Hand 900
Outstanding Subscription 360

72,180 72,180

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 360 By Bal b/d 180
To Income & Exp A/c 9,180 By Cash/Bank A/c (Bal Fig) 9,000
To Bal C/d 180 By Bal C/d 540
9,720 9,720

Sports Material A/c

Particulars Amount Particulars Amount
To Bal B/d 13320
To Cash/Bank A/c 5,400 By Income & Exp A/c (Bal Fig) 15,120
By Bal C/d 3,600
18,720 18,720

Furniture A/c
Particulars Amount Particulars Amount
To Bal B/d 3600
By Cash/Bank A/c 540
By Loss on Sale of Furniture 360
By Bal C/d (Bal Fig) 2,700
3,600 3,600

Interest on Investment A/c

Particulars Amount Particulars Amount

To Income & Exp A/c (54000*5%) 2,700 By Bal C/d (Bal Fig) (Interest Accrued) 2,700

2,700 2,700
 QUESTION NO 17
In The Books of Mumbai Club
Income & Expenditure A/c
for the year ended 31St Dec 2018
Expenditure Amount Income Amount
To Salary 2000 By Subscription 12550
To Repair Expenses 500 By Donation 2500
To Paper & Ink 150 By Entrance Fees 1000
To Misc. Expenses 410 By Interest Received From Bank 400
To Insurance Premium 240 By Sale of Newspaper 150
By Reciepts from Sale of Drama 1050
To Surplus Transferred to capital Fund 14150 Less - Drama Expenses 500 550
By Interest on Investments 300

17450 17450

Balance Sheet (Closing)

As on 31st Dec 2018
Liabilities Amount Assets Amount
Capital Fund 36000 Furniture 6000
Add - Donation 2500 Billiard Table 30000
Add - Surplus 14150 52650
Investments 6000
Interest Accrued on Investments 200
Prepaid Misc. Expenses 90
Oustanding Insurance Premium 40 Outstanding Subscription 900
Subscription Received in Advance 350 Cash in Hand 2,650
Cash at Bank 7,200
53,040 53,040

WORKING NOTES
Balance Sheet (Opening)
As on 31st Dec 2017
Liabilities Amount Assets Amount
Capital Fund (Bal Fig) 36,000 Billiard table 30000
Creditors for Billiard Table 8000 Cash in Hand 4,000
Cash at Bank 10,000
44,000 44,000

Subscription A/c
Particulars Amount Particulars Amount

To Income & Exp A/c (Bal Fig) 12,550 By Cash/Bank A/c 12,000
To bal C/d 350 By Bal C/d 900
12,900 12,900

Insurance Premium A/c

Particulars Amount Particulars Amount

To Cash/Bank A/c 200 By Income & Exp A/c (Bal Fig) 240
To Bal C/d 40
240 240

Misc. Expenses A/c

Particulars Amount Particulars Amount

To Cash/Bank A/c 500 By Income & Exp A/c (bal Fig) 410
By Bal C/d 90
500 500

Interest on Investments A/c

Particulars Amount Particulars Amount

To Income & Exp A/c (Bal Fig) 300 By Cash/Bank A/c 100
By Interest Accrued (6000*8%/12*5) 200
300 300

Creditors for Billiard Table

Particulars Amount Particulars Amount
By Bal B/d 8000
To Cash/Bank A/c 8,000

8,000 8,000
 QUESTION NO 18
SUBSCRIPTION A/C
Particulars Amount Particulars Amount
TO BAL B/D (opening Sub rec.) 33750 BY BAL B/D (Op. Sub rec in advance) 27000
TO INCOME & EXP A/C (BAL FIG) 11,52,000 BY CASH/BANK A/C 11,25,000
TO BAL C/D (Cl. Sub rec in adv) 15750 BY BAL C/D (Cl. Subs rec.) 49,500
1201500 1201500

SPORTS MATERIAL A/C

Particulars Amount Particulars Amount
TO BAL B/D 225000
TO CREDITORS FOR SPORTS MAT. 7,65,000 BY Income & Exp A/c (BAL FIG) 6,52,500
BY BAL C/D 3,37,500
9,90,000 9,90,000

WORKING NOTES
CREDITORS FOR SPORTS MATERIAL A/C
Particulars Amount Particulars Amount
BY BAL B/D 202500
TO CASH/BANK A/C 6,75,000 BY SPORTS MATERIAL A/C (PUR) (BAL) 7,65,000
TO BAL C/D 292500
9,67,500 9,67,500
 QUESTION NO 19
In The Books of New Max Hospital
Income & Expenditure A/c
for the year ended 31st December 2020
Expenditure Amount Income Amount
To Rent 850 By Fees From Patients 2400
To Printing & Stationary 1200 By Subscription 12250
To Diet Expenses 7800 By Government Grant 10000
To Electricity & Water Charges 1200 By Donation 4000
To Office Expenses 1000 By Net Collection from Benefit Shows 3000
To Salaries 12000 By Interest on Investments 400

To Surplus Trf to Capital Fund 8000

32050 32050

Balance Sheet (Closing)

As on 31st December 2020
Liabilities Amount Assets Amount
Capital Fund 24650 Building 70000
Add - Surplus 8000 32650 Furniture 3000
Hospital Equipment 25500
Cash in Hand 700
Building Fund 80000 Bank Balance 3400
Subscription Received in Advance 1200 Investments 10000
Prepaid Rent 150
Interest Accrued on Investment 400
Oustanding Subscription 700

1,13,850 1,13,850

Working Notes
Balance Sheet (Opening)
As on 01-01-2020
Liabilities Amount Assets Amount
Building 45000
Capital Fund (Bal Fig) 24650 Hospital Equipment 17000
Cash in Hand 400
Building Fund 40000 Bank Balance 2600
Outsanding Salary 3600 Oustanding Subscription 3250

68,250 68,250

Subscription A/c
Particulars Amount Particulars Amount
To Bal B/d 3250
To Income & Exp A/c (Bal Fig) 12,250 By Cash/Bank A/c 16,000
To Bal C/d 1200 By Bal C/d 700
16,700 16,700

Salaries A/c
Particulars Amount Particulars Amount
By Bal B/d 3600
To Cash/Bank A/c 15,600 By Income & Exp A/c (Bal Fig) 12,000

15,600 15,600

Hospital Equipment A/c

Particulars Amount Particulars Amount
To Bal B/d (Bal Fig) 17,000
To Cash/Bank A/c 8,500
 By Bal C/d 25,500
25,500 25,500

Furniture A/c
Particulars Amount Particulars Amount

To Cash/Bank A/c 3,000

By Bal C/d 3,000
3,000 3,000

Building A/c
Particulars Amount Particulars Amount
To Bal B/d (Bal Fig) 45000
To Cash/Bank A/c 25,000
By Bal C/d 70,000
70,000 70,000

Rent A/c
Particulars Amount Particulars Amount

To Cash/ Bank A/c 1,000 By Income & Exp A/c (Bal Fig) 850
By Bal C/d 150
1,000 1,000

Building Fund A/c

Particulars Amount Particulars Amount
By Bal B/d 40000
By Cash/Bank A/c 40,000
To Bal C/d (Bal Fig) 80000
80,000 80,000

Interest on Investments
Particulars Amount Particulars Amount

To Income & Expenditure A/c 400

To Bal C/d (bal Fig) 400
400 400
 QUESTION NO 20
In The Books of New Punjabi Bagh Club
Receipts & payment A/c
for the year ended 31St March 2021
Receipts Amount Payments Amount
To Bal B/d
Cash in Hand & at Bank 55000 By Salary 30000
To Sale of 10% Investments 35000 By Sports Expenses 25000
To Interest on 10% Investments 7000 By Misc Expenses 2500
To Sale of Furniture 4000 By Sports Goods 5000
To Subscription 122500 By Machinery 5000
By Rent 11000
By Bal C/d
Cash in Hand & at Bank 145000

223500 223500

Income & Expenditure A/c

for the year ended 31St March 2021
Expenditure Amount Income Amount

To Depreciation By Subscription 150000

Machinery 750 By Interest on Investment 8750
Sports Goods 1125
Furniture 700 2575
To Sports Expenses 25000
To Rent 12000
To Misc Expenses 2500
To Loss on Sale of Furniture 3000
To Salary 31500
To Surplus 82175
158750 158750

Note - It is assumed that Investmenst are sold on last Day

Working Notes

Subscription A/c
Particulars Amount Particulars Amount
To bal B/d 70000 By Bal B/d 12500
To Income & Exp A/c 1,50,000 By Cash /Bank (Bal Fig) 1,22,500
To Bal C/d 15000 By Bal C/d 1,00,000
2,35,000 2,35,000

Salary A/c
Particulars Amount Particulars Amount
By Bal B/d 7500
To Cash/Bank A/c 30,000 By Income & Exp a/c (Bal Fig) 31,500
To Bal C/d 9000
39,000 39,000

10% Investment A/c

Particulars Amount Particulars Amount
To Bal B/d 70000
By Cash/Bank A/c (87500*50%*80%) 35,000
By Bal C/d 35,000
70,000 70,000

Furniture A/c
Particulars Amount Particulars Amount
To Bal B/d 14000 By Cash/Bank A/c 4000
By Loss on Sale of Furniture (Bal Fig) 3,000
 By Depreciation 700
By Bal C/d (7000-700) 6,300
14,000 14,000

Machinery A/c
Particulars Amount Particulars Amount
To Bal B/d 5000
To Cash/Bank A/c (Bal Fig) 5,000 By Depreciation 750
By Bal C/d (10000-750) 9,250
10,000 10,000

Sports Goods A/c

Particulars Amount Particulars Amount
To Bal B/d 7500
To Cash/Bank A/c (Bal Fig) 5,000 By Depreciation 1,125
By Bal C/d (12500-1125) 11,375
12,500 12,500

Rent A/c
Particulars Amount Particulars Amount

To Cas/Bank A/c (Bal Fig) 11,000 By I & E A/c 12,000

To Bal C/d 1000
12,000 12,000

Interest on Investment A/c

Particulars Amount Particulars Amount

To Income & Exp A/c (87500*10%) 8,750 By Cash/Bank A/c 7,000

By Bal C/d (Int Accrued) (Bal Fig) 1,750
8,750 8,750