Professional Documents
Culture Documents
FINANCIAL STATEMENTS OF
NON PROFIT
ORGANISATION
Chapter 9
Not for profit organisation
Disclaimer
1
2
3
This lecture has been delivered by faculty members to supplement the Study
Material, Practice Manual and other content
The content of this video lecture has not been specifically discussed by the
Council of the Institute or any of its Committees and the views expressed
herein may not be taken to necessarily represent the views of the Council or
any of its committees
ICAI, 2013
Important Note
ICAI, 2013
INTRODUCTION
A Non profit organisation is a legal and accounting
entity that is operated for the benefit of the society as a
whole, rather than for the benefit of a sole proprietor
or a group of partners or shareholders.
In every society, some organisation or organisation are
found which do not have profit making as their as
objective
The main objective may be social, educational,
religious or charitable and they take the form of clubs,
societies or charitable bodies and so on.
ICAI, 2013
CHARACTERISTICS
Entity
Financing
Funds
Service
ICAI, 2013
Form
No
Profit
Motive
FINANCIAL STATEMENTS
These organisations, prepare, at the year end,
the following three financial statements
Receipts and Payments Account
Income and Expenditure Account
Balance sheet
ICAI, 2013
ICAI, 2013
ICAI, 2013
Receipt and Payment Account for the year ended 31st March, 2011
Receipt
To opening Balance
Cash
Bank
To Subscriptions
09 - 10
10 - 11
11- 12
To Entrance Fees
To Donation
To Sale of Furniture
To rent received
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
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Payment
By Salaries
By Rent
By Electricity
By Purchase of Furniture
By Purchase of Investment
By Repairs on machinery
By Sundry Expenses
By Cleaning Expenses
By Insurance Expenses
By Books
By Closing Balance
Cash
Bank
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
Cr
R & P - Illustration
S-M Illustration 1 page 9.2
The receipt and payments for the swaraj club for the year ended
December 31st, 2010 were : Entrance fees 300, Membership Fees
3,000, Donation for club pavilion 10,000, Foodstuff sales 1,200,
salaries and wages 1,200, Purchase of Foodstuff 800, Construction
of Club pavilion 11,000, General Expenses 600, Rent and Taxes
400, Bank charges 160.
Cash in hand Jan 1st 200, Dec 31st 350
Cash in Bank Jan 1st 400, Dec 31st 590
ICAI, 2013
R & P - Solution
Swaraj Club
Dr
Receipt and Payment Account for the year ended 31st Dec, 2010
Receipts
To Balance B/d
Cash in Hand
Cash with Bank
To Entrance Fees
To Membership Fees
To Donation on Account of
Club Pavilion
To Sales of Foodstuff
200
400
300
3,000
10,000
1,200
15,100
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Payments
Cr
1,200
800
11,000
600
400
160
350
590
15,100
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Both cash and non cash items are considered. For e.g.
depreciation
All capital expenditure and incomes are excluded.
Only current years incomes and expenses are
considered.
If incomes are more than the balance is known as
surplus, and if expenses are more than the balance will
be known as deficit.
ICAI, 2013
Income and Expenditure Account for the year ended 31st March, 2011
Expenses
To Salaries
Add Outstanding
To Rent
To Insurance
Less Prepaid
To Printing and Stationery
To Repairs of Equipment
To Depreciation
Furniture
Equipment
Books
To sundry Expenses
To surplus (Bal. Figure)
ICAI, 2013
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
Incomes
By Subscription
Add outstanding
Less Advance
By donations
By Entrance Fees
By Sale of Old newspapers
By sundry receipts
By rent received
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
Cr
BALANCE SHEET
The Balance sheet of non profit concern is prepared on
the same principles as the balance sheet of a profit
seeking business. Its a statement of all assets and
liabilities of the business. It may be prepared either in
the order of liquidity or in the order of permanence.
ICAI, 2013
BALANCE SHEET
A specimen of Balance Sheet
Name of the Institution / Club
Balance Sheet as on 31st March, 2011
Liabilities
Capital Funds
Add Entrance Fees
Add surplus
Subscription received in
Advance
Outstanding Wages
Prize Fund
Building Fund
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
ICAI, 2013
Assets
Building
Less Depreciation
Furniture
Less Depreciation
Books
Less Depreciation
Investments
Outstanding Subscription
Prepaid Insurance
Cash at Bank
Cash in hand
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xxx
xx
In statement form
xx
In Account form
In equation form
ICAI, 2013
In Statement Form
Receipts and Payments
Receipts
Payments
Sub
xx
sub
xxx
xxx
Asset
Closing
xxx
Asset
Opening
xxx
Liability Closing
xxx
Liability Opening
xxx
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xx
In Account Form
Receipts and Payments
Receipts
Payments
Sub
Dr
Particulars
To Outstanding Subscription
( At the Beginning)
xx
Subscriptipn A/c
Particulars
xxx By Advance Subscription
( At the Beginning)
sub
xxx
xxx
By Bank A/c
(Receipt and Payment A/c)
xxx
To Adcance Subscription
(At the End)
xxx
By Outstanding Subscription
(At the End)
xxx
ICAI, 2013
xxx
xxx
Cr
xx
In Equation Form
Receipts and Payments
Receipts
Payments
Sub
xx
Income and Expenditure
Expenses
Incomes
sub
xx
Illustration - 1
Compute the subscription for the year 2012 from the following
particulars of a club
Subscription received = 1,50,000
1/1/2012
31/12/2012
Outstanding
9,000
7,000
Advance
4,000
6,000
Solution
Subscription (From Receipts)
Add : Outstanding at End
Less : Outstanding at Beginning
Less : Advance at End
Add : Advance at Beginning
Subscription (To Income)
ICAI, 2013
1,50,000
7,000
9,000
6,000
4,000
1,46,000
Illustration - 2
5,800
1,200
1,200
800
------5,000
1000 + 200
Illustration - 3
Calculate the subscription to be credited to income and expenditure A/c for the
year ended 31/12/2012 from the following information.
Subscription received 2011 - 10,000, 2012 60,000 and 2013 12,000.
1. Subscription received in advance as at 31/12/2011 11,000
2. Subscription outstanding as at 31/12/2011 12,000
3. Subscription outstanding for the year 2012 is 8,000
Solution
Subscription (From Receipts)
Add : Outstanding at End
Less : Outstanding at Beginning
Less : Advance at End
Add : Advance at Beginning
Subscription (To Income)
ICAI, 2013
82,000
10,000
12,000
12,000
11,000
79,000
8,000 + 2,000
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Illustration
ICAI, 2013
Illustration
Assets
Prize Fund
Opening Balance
Add : Donations
Less : Prizes Awarded
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24,000
5,000
8,000
21,000
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General
1. General Aid : Theses aids
are treated as revenue receipts
and thus, are transferred to
the credit of the income and
expenditure.
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Aid
Specific
Payment
By Profit
on Sale
1200
Liabilities
Balance Sheet
Assets
Plant
Less Sold
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200
xxx
1000
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Illustration
Payments
Receipts
By Printing and
Stationery
890
Adjustment : Opening stock of stationery is 125 and closing Stock 87.
Solution
Opening Stock
Add : Purchase
Less : Closing Stock
Consumed
ICAI, 2013
ICAI, 2013
Receipts
Solution
Liabilities
Prize Fund
Opening
+ Donations Received
- Prizes Awarded
ICAI, 2013
Balance Sheet
2,000
5,000
4,000 3,000
Assets
Receipts
40,000
To Donations for Building
50,000 By Construction of Building
The opening Balance of the Building fund was 20,000
Balance Sheet
Solution
Assets
Liabilities
Capital Fund
+ Building Fund (cap)
Building Fund (op)
+ Donations Received
- Capitalised
ICAI, 2013
xxxx
40,000
20,000
50,000
40,000
Building
30,000
40,000
TYPES OF PROBLEMS
practice manual Q - 5
1. Preparation Income and Expenditure Account and Balance sheet when Receipt and
Payment Account and other information are given.
Mahaveer Sports Club gives the following receipts and payments for the year ended 31st March,
2011.
Dr
Receipts and Payment A/c
Cr
Receipts
Payments
To Opening
Op
5,200 By Salaries R
15,000
Balance
To Subscription R 34,800 By Rent and Taxes R 5,400
To Donations C
10,000 By Elect. charges R
600
R
To Interest R
1,200 By Sports Goods C 2,000
To Sundry Recpts
300 By Library Books C 10,000
R
By Newspapers R
1,080
By Misc. Expenses R 5,400
By Balance c/d
12,020
Clo
51,500
51,500
31-03-2010 31-03-11
Outstanding Expenses
Salaries
Newspapers
Rent and Taxes
Electricity Charges
Library Books
Sports Goods
Furniture
Subscription receivable
Investment
Accrued Interest
1,000 2,000
400
500
600
600
800 1,000
10,000
-8,000
-10,000
-5,000 12,000
50,000
-600
600
Provide Depreciation on :
Furniture @ 10 % p.a
Sports Goods @ 20 % p.a , Library Books @ 10% p.a
Donations are to be capitalized.
You are required to prepare clubs opening Balance Sheet as on 1.4.2010, income and expenditure account for
the year ended 31.3.2011 and the balance sheet as on that date.
ICAI, 2013
Income
By Sub. (wn. 2)
Assets
ICAI, 2013
Less : Sale
12,000
O/s Subscription
5,000
5,200
Assets
Opening
Add : Purchase
Subscription
receivables
41,800
Assets
Less : Dep
Closing
Furniture
Elect.
Rent
Sports Goods
Books
News
Income
To Salaries (wn.2)
16,000
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
41,800
1,200
300
Add : Donations
10,000
Outstanding Exp
Salaries
2,000
ICAI, 2013
Assets
Assets
O/s Salaries
Accrued Interest
Subscription
receivables
600
12,000
1,000
O/s Subscription
5,000
Accrued Int.
Cash and Bank
600
5,200
Assets
Opening
Add : Purchase
Less : Sale
Less : Dep
Closing
Furniture
Rent
Sports Goods
Books
News
Income
To Salaries (wn.2)
To Elec. (wn. 2)
To Rent (wn. 2)
16,000
800
5,400
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
41,800
1,200
300
Add : Donations
10,000
Outstanding Exp
Salaries
2,000
Electricity Char
Rent and Taxes
1,000
600
ICAI, 2013
Assets
Assets
O/s Salaries
O/s Elec.
O/s Rent
600
12,000
1,000
800
600
O/s Subscription
5,000
Accrued Int.
Cash and Bank
600
5,200
Assets
Opening
Add : Purchase
Accrued Interest
Subscription
receivables
Less : Sale
Less : Dep
Closing
Furniture
Sports Goods
Books
Income
To Salaries (wn.2)
To Elec. (wn. 2)
To Rent (wn. 2)
To News (wn. 2)
To Misc Exp.
16,000
800
5,400
1,180
5,400
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
41,800
1,200
300
Add : Donations
10,000
Outstanding Exp
Salaries
Newspapers
Electricity Char
Rent and Taxes
2,000
500
1,000
600
ICAI, 2013
Assets
Assets
O/s Salaries
O/s Newspapers
O/s Elec.
O/s Rent
O/s Subscription
5,000
Accrued Int.
Cash and Bank
600
5,200
Assets
Opening
Add : Purchase
Accrued Interest
Subscription
receivables
Cash and Bank
1,000
400
800
600
600
Less : Sale
12,000
12,020
Less : Dep
Closing
Furniture
Sports Goods
2,000
Books
10,000
Income
To Salaries (wn.2)
To Elec. (wn. 2)
To Rent (wn. 2)
To News (wn. 2)
To Misc Exp.
16,000
800
5,400
1,180
5,400
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
41,800
1,200
300
Add : Donations
Outstanding Exp
Salaries
Newspapers
Electricity Char
Rent and Taxes
ICAI, 2013
Assets
10,000
2,000
500
1,000
600
Assets
O/s Salaries
O/s Newspapers
O/s Elec.
O/s Rent
O/s Subscription
5,000
Accrued Int.
Cash and Bank
600
5,200
Assets
Opening
Add : Purchase
Accrued Interest
Subscription
receivables
Cash and Bank
1,000
400
800
600
600
Less : Sale
12,000
12,020
Less : Dep
Closing
Furniture
10,000
-------10,000
-------10,000
1,000
9,000
Sports Goods
8,000
2,000
10,000
---------10,000
2,000
8,000
Books
10,000
10,000
20,000
---------20,000
2,000
18,000
Income
To Salaries (wn.2)
To Elec. (wn. 2)
To Rent (wn. 2)
To News (wn. 2)
To Misc Exp.
To Dep. (wn. 3 )
16,000
800
5,400
1,180
5,400
5,000
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
41,800
1,200
300
Add : Donations
Outstanding Exp
Salaries
Newspapers
Electricity Char
Rent and Taxes
ICAI, 2013
10,000
2,000
500
1,000
600
Assets
Fixed Assets
Furniture
Sports Good
Library Books
9,000
8,000
18,000
Investment
50,000
Accrued Interest
Subscription
receivables
Cash and Bank
Assets
Library Books
Sports Goods
O/s Salaries
1,000
Furniture
O/s Newspapers
400
O/s Subscription
O/s Elec.
800
Investment
O/s Rent
600
Accrued Int.
Cash and Bank
10,000
8,000
10,000
5,000
50,000
600
5,200
Assets
Opening
Add : Purchase
600
Less : Sale
12,000
12,020
Less : Dep
Closing
Furniture
10,000
-------10,000
-------10,000
1,000
9,000
Sports Goods
8,000
2,000
10,000
---------10,000
2,000
8,000
Books
10,000
10,000
20,000
---------20,000
2,000
18,000
Income
To Salaries (wn.2)
To Elec. (wn. 2)
To Rent (wn. 2)
To News (wn. 2)
To Misc Exp.
To Dep. (wn. 3 )
16,000
800
5,400
1,180
5,400
5,000
By Sub. (wn. 2)
By Interest (wn. 2)
By Sundry Receipts
To Surplus
41,800
1,200
300
9,520
43,300
43,300
86,000
9,520
10,000
1,05,520
2,000
500
1,000
600
Assets
Fixed Assets
Furniture
Sports Good
Library Books
9,000
8,000
18,000
Investment
50,000
Accrued Interest
Subscription
receivables
Cash and Bank
Assets
Library Books
Capital Fund
86,000
Sports Goods
O/s Salaries
1,000
Furniture
O/s Newspapers
400
O/s Subscription
O/s Elec.
800
Investment
O/s Rent
600
Accrued Int.
Cash and Bank
88,800
Assets
Opening
Add : Purchase
600
Less : Sale
12,000
12,020
Less : Dep
Closing
1,09,620
10,000
8,000
10,000
5,000
50,000
600
5,200
88,800
Furniture
10,000
-------10,000
-------10,000
1,000
9,000
Sports Goods
8,000
2,000
10,000
---------10,000
2,000
8,000
Books
10,000
10,000
20,000
---------20,000
2,000
18,000
practice manual Q - 7
2. Preparation Income and Expenditure Account and Balance sheet when Opening
Balance Sheet, Receipt and Payment Account and other information are given.
Smith Library Society showed the following position on 31st March, 2010
Balance Sheet as on 31/3/2010
Liabilities
Assets
Electrical
Capital Fund 7,93,000 Fittings
Expenses
Furniture
payable
7,000 Books
Investments
Cash at Bank
Cash in Hand
8,00,000
1,50,000
50,000
4,00,000
1,50,000
25,000
25,000
8,00,000
Payments
To Balance b/d
Cash at Bank
25,000 By Electricity R 7,200
Op
Cash in Hand
25,000 By Postage R
5,000
To Entrance
By Telephone R
5,000
C
Fees
30,000 By Books C
60,000
To SubscriptionR200000 By O/s Exp R
7,000
To Sale of old
By Rent R
88,000
Newspaper R
1,500 By Investment C 40,000
To Hire of
By Salaries R
66,000
R
Lecture Hall
20,000 By Balance c/d
Cash at Bank
20,000
To Interest on
R
clo
Investments
8,000 Cash in Hand
11,300
3,09,500
3,09,500
ICAI, 2013
Income
By Entrance Fees
By Subscription
7,500
1,90,000
Exp/ Inc
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Sub
Interest
Rent
Salary
200000
----------------10,000
--------190,000
Assets
Electrical
Furniture Books
Opening
1,50,000 50,000 4,00,000
Add : Purch
Assets
Less : Dep
Closing
7,93,000
22,500
Investments
(150,000
Advance
Subscription
ICAI, 2013
10,000
Less : Sale
To Elec. Charges
To Postage
To Telephone
To Rent
To Salaries
7,200
5,000
5,000
92,000
69,000
Income
By Entrance Fees
By Subscription
By Sale of Old
Newspapers
By Hire of Lecture
hall
By Interest on
securities
7,500
1,90,000
1,500
20,000
8,500
Outstanding Exp
Rent
4,000
Salaries 3,000
Advance
Subscription
ICAI, 2013
Assets
10,000
Investments
(150,000
+ 40,000)
Outstanding
Interest
1,90,000
500
Sub
200000
----------------10,000
--------190,000
Interest
8,000
500
------------------8,500
Rent
Salary
88,000 66,000
4,000 3,000
------- ------------- ------------- ------92,000 69,000
Assets
Electrical
Furniture Books
Opening
1,50,000 50,000 4,00,000
Add : Purch
60,000
1,50,000 50,000 4,60,000
Less : Sale
-------Less : Dep
Closing
7,93,000
22,500
7,000
Exp/ Inc
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
To Elec. Charges
To Postage
To Telephone
To Rent
To Salaries
To Depreciation
Electrical Fitting
Furniture
Books
7,200
5,000
5,000
92,000
69,000
15,000
5,000
46,000
2,44,200
Expenditure
By Entrance Fees
By Subscription
By Sale of Old
Newspapers
By Hire of Lecture
hall
By Interest on
securities
7,500
1,90,000
By Deficit
16,700
2,44,200
1,500
20,000
8,500
ICAI, 2013
7,93,000
22,500
16,700
7,98,800
7,000
10,000
8,15,800
Assets
Cash in hand
Cash at Bank
Fixed Assets
Electrical Fittings
Furniture
Books
Investments
(150,000
+ 40,000)
Outstanding
Interest
11,300
20,000
1,35,000
45,000
4,14,000
1,90,000
500
8,15,800
Exp/ Inc
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Sub
200000
----------------10,000
--------190,000
Interest
8,500
500
------------------9,000
Rent
Salary
88,000 66,000
4,000 3,000
------- ------------- ------------- ------92,000 69,000
Assets
Electrical
Furniture Books
Opening
1,50,000 50,000 4,00,000
Add : Purch
60,000
1,50,000 50,000 4,60,000
--------------Less : Sale
-------150,000 50,000 460,000
46,000
5,000
15,000
Less : Dep
1,35,000 45,000 4,14,000
Closing
practice manual Q - 12
3. Preparation Receipt and Payment Account from Income and Expenditure and Other
information given .
Income and Expenditure Account for the year ended 31st March, 2012 of South Asia Club is
given below.
Expenditure
To Salaries and Wages
To Miscellaneous Exp
To Audit Fees
To Honorarium
To Sports Day Expenses
To Printing and Stationery
To Interest on Loan
To Depreciation on Sports
Equipment
To Surplus
Income
47,500 By Subscription
5,000 By Entrance Fees
2,500 By Contribution for
10,000 Annual Day
5,000 (After deducting Exp
4,500 7,500)
1,500
3,000
6,000
85,000
Additional Information
1. Subscription received in Advance
2. Subscription outstanding
3. Salaries Outstanding
4. Sports Equipment
ICAI, 2013
31.3.2011 31.3.2012
4,500
2,700
6,000
7,500
4,000
4,500
26,000
27,000
Additional Information
75,000
2,500 5. Cash in hand as on 31.3.12 was
16,000
7,500 6. The club took a 5% loan of
30,000 from a bank during 2010
11 for which interest was not
paid in the financial year 2011
12.
Prepare Receipts and payment
account of south Asia club for
85,000
the year ending 31st March
2012.
1. Subscription
ICAI, 2013
Payment
By Salaries and Wages
By Miscellaneous Exp
By Audit Fees
By Honorarium
By Sports Day Exp.
By Printing and
Stationery
47,000
5,000
2,500
10,000
5,000
By Sports Equipment
4,000
4,500
3. Asset
Sports
Equipment
Opening
26,000
Add : Purchase 4,000
30,000
Less : Sold
-------30,000
Less : Dep.
3,000
Closing
27,000
47,000
4,500
4,000
------------47,500
To Balance b/d
12,300
To Subscription
71,700
To Entrance Fees
2,500
To Contribution to Annual
Day (7,500 + 7,500)
15,000
1,01,500
1. Subscription
ICAI, 2013
Payment
By Salaries and Wages
By Miscellaneous Exp
By Audit Fees
By Honorarium
By Sports Day Exp.
By Printing and
Stationery
By Annual Day Exp.
By Sports Equipment
By Balance c/d
47,000
5,000
2,500
10,000
5,000
4,500
7,500
4,000
16,000
1,01,500
71,700
7,500
6,000
2,700
4,500
75,000
3. Asset
Sports
Equipment
Opening
26,000
Add : Purchase 4,000
30,000
Less : Sold
-------30,000
Less : Dep.
3,000
Closing
27,000
47,000
4,500
4,000
------------47,500
4. Preparation Receipt and Payment Account and Balance Sheet from Income and
Expenditure and opening Balance Sheet other information given .
From the following Income and Expenditure Account of Victoria Club for the year ended
31/12/2012 and the balance sheet as on 31/12/2011 and other information, prepare Receipts
and Payments Account for the year ended 31/12/2012 and the balance sheet as on that date.
Income and Expenditure A/c for the year ended 31.12.2012
Expenditure
Income
To Salaries
1,00,000 By Subscription
1,88,000
To Rent
22,000 By Entrance Fees
12,000
To Travelling Exp
1,000 By Donations
20,000
To Printing
2,000 By Interest
10,000
To dep (furniture)
3,000
To Periodicals
1,000
To Surplus
1,01,000
2,30,000
2,30,000
Balance Sheet as on 31/12/2011
Liabilities
Assets
Capital Fund
3,45,000 Furniture
O/s Expenses
Sports Equp
Rent
2,000 Investments
Salaries
13,000 o/s. Subscription
Interest Rec.
Bank Balance
ICAI, 2013 3,60,000
80,000
40,000
2,00,000
10,000
2,000
28,000
3,60,000
Victoria Club
Dr Receipts and Payment A/c for the year ended 31/12/2012 Cr
Receipts
Payments
By Salaries
By Rent
By Travelling
expenses
By Printing and
Stationery
By Periodicals
1,05,000
20,000
1,000
2,000
1,000
Assets
Furniture
Add Surplus
Outstanding Exp
Salaries
Rent
ICAI, 2013
1,01,000
8,000
4,000
77,000
Exp/ Inc
Sub
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Assets
Furniture
Opening
80,000
Add : Purch
------80,000
Less : Sale
-------80,000
3,000
Less : Dep
77,000
Closing
Salary
Rent
105000 20,000
8,000
4,000
13,000
2,000
-------- ---------------- --------100,000 22,000
Victoria Club
Dr Receipts and Payment A/c for the year ended 31/12/2012 Cr
Receipts
To Balance b/d
To Subscription
To Entrance Fees
To Donations
To Interest
(10,000 + 2,000)
28,000
1,82,000
12,000
20,000
12,000
2,54,000
Payments
By Salaries
By Rent
By Travelling
expenses
By Printing and
Stationery
By Periodicals
By Balance c/d
1,05,000
20,000
1,000
2,000
1,000
1,25,000
2,54,000
Assets
3,45,000
1,01,000
4,46,000
Furniture
Sports Equipment
Investments
Subscription Due
Bank Balance
77,000
40,000
2,00,000
16,000
1,25,000
8,000
4,000
4,58,000
ICAI, 2013
4,58,000
Exp/ Inc
Sub
Salary
Rent
105000
R&P
182000
20,000
8,000
Add O/s E
16,000
4,000
13,000
Less O/s B
10,000
2,000
-------Less Adv E
----------------------- --------Add Adv B
-------I&E
188,000 100,000 22,000
Assets
Furniture
Opening
80,000
Add : Purch
------80,000
Less : Sale
-------80,000
3,000
Less : Dep
77,000
Closing
5. Preparation of opening and closing balance sheet from Receipt and Payment A/c and
Income and Expenditure A/c
Young Generation Society submits the following Receipts and Payment Account and Income
and Expenditure Account for the year ended 31.3.2012
Receipts and Payment A/c for the year ended
31/3/2012
Receipts
Payments
900
To Balance b/d
To Interest
By Printing
150
10-11
200 By Advertisement
282
11-12
300 By Salary
2,600
To Tuition Fees
By Rent
1,040
11-12 2,000 By Miscellaneous
12-13
200 expenses
220
To Entrance Fees
840 By Furniture
1,340
To Membership
10-11
600
11-12 2,300
12-13
780 By Balance c/d
2,748
8,380
8,380
Income
To Printing
160 By Tuition Fees
2,200
To Advertisement
300 By Membership
To Rent
1,200 Fees
2,300
To Salary
2,400 By Miscellaneous
To Miscellaneous
Income
260
expenses
220 By Interest
320
To Surplus
800
5,080
5,080
The society had the following assets as 31/3/2011 : Investments 8,000, Furniture 4,000, Library books
3,000. You are asked to prepare the balance sheet of the society as on 31/3/2011 and 31/3/2012.
ICAI, 2013
Assets
Membership Fees
Receivable
Interest
Receivable
Bank
600
200
900
Assets
Add : Entrance
840
Advance
Tuition Fees
Membership
200
780
Tuition Fees
Receivable
Interest receivable
200
20
Expense Salary
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Income
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Tuition Fees
Assets
Opening
Purchase
Furniture
Sale
Dep
Closing
ICAI, 2013
Printing
2,200
200
----200
------2,200
Advt.
Rent
Membership Fees
3,680
-----600
780
------2,300
Capital Fund
(Balancing Fig)
Assets
16,500
Outstanding
Salaries
200
Furniture
Investments
Library Books
Membership Fees
Receivable
Interest
Receivable
Bank
16,700
Balance Sheet as on 31/3/2012
Liabilities
Capital Fund
Opening Balance
Add : Surplus
Add : Entrance
Advance
Tuition Fees
Membership
Outstanding
Printing
Advertisement
Rent
16,500
800
840
18,140
200
780
4,000
8,000
3,000
600
200
900
16,700
5,340
8,000
3,000
200
20
2,748
Expense Salary
R&P
2,600
Add O/s E -----Less O/s B
200
Less Adv E -----Add Adv B -----2,400
I&E
19,308
Printing
150
10
--------------160
Income
R&P
Add O/s E
Less O/s B
Less Adv E
Add Adv B
I&E
Tuition Fees
Assets
Opening
Purchase
Furniture
Sale
Dep
Closing
10
18
160
19,308
ICAI, 2013
Assets
Furniture
Investment
Library Books
Tuition Fees
Receivable
Interest receivable
Bank
2,200
-----200
200
------2,200
4,000
1,340
5,340
------5,340
-----5,340
Advt.
282
18
--------------300
Rent
1,040
160
--------------1,200
Membership Fees
3,680
-----600
780
------2,300
THANK YOU
ICAI, 2013