ACCOUNTS FOR NON-TRADING CONCERNS Problem: 1 Show how you would deal with the following items of the

Cosmopolitian Club as on 31-3-2011 Particulars Tournament Fund Tournament Fund Investment Income from Tournament Tournament Expenses Problem: 2 The Madras Charity Hospital has paid Rs. 32,000 during 2010 under the head salaries. The salary paid includes Rs. 1,000 for 2009 and Rs. 200 for Rs. 2011. Salaries still payable for the year 2010 Rs. 2,000. Show how this item will appear in the Income & Expenditure Account of the Hospital for the year 2010. Problem: 3 In 2010 the subscriptions received were Rs. 40,000. These subscriptions include Rs. 1,500 received for the year 2009 and Rs. 2,400 for the year 2011. On 2010, the subscription due but not received were Rs. 1,200. What amount should be credited to the Income & Expenditure account in the books of Madras Library for the year ending 2010? Problem: 4 Prepare Receipts & payment Account of the Charity Eye Hospital for the year ending March 31st 2011. Particulars Opening Balances: Cash Bank Government Securities Subscription Interest Donations Miscellaneous Receipts Rs. 500 8,000 1,80,000 1,25,000 4,000 20,000 300 Particulars Furniture Purchased Salaries Investment Purchased Diet Expenses Surgical Instrument Purchased Rent & Taxes Insurance Premium Miscellaneous Expenses Closing Balances: Government Securities Cash Rs. 3,100 40,000 500 12,000 41,000 30,500 9,700 1,100 1,80,000 700 Debit 5,000 400 Credit 5,000 600 -

Problem: 5 The Cheran Sports Club seeks your help in preparing an Income & Expenditure Account for the year ended 31st December 2010 from and out of the details available below Particulars To Balance b/d To Entrance Fees To Subscription (including Rs. 50 for 2009) To Proceeds of Test Match To Interest on Investment (including Rs. 10 for 2009) Rs. Particulars 960 By Salary 200 By Maintenance of Grounds 3,480 (including Rs. 30 for 2009) By Wages of Grounds men 600 (including Rs. 15 for 2009) By Ground Rent 200 By Printing & Postage By Repairs By Balance c/d 5,440 Rs. 1,440 960 840 60 72 80 1,988 5,440

Problem: 6 From the following particulars of Chennai Club prepare Income & Expenditure Account for the year ended 30th June 2011 and the Balance Sheet as on that date. Depreciate Furniture by 10%; Billards table by 20%; Subscription amounting to Rs. 1,000 was still receivable. Rs. Credit Balances 10,000 Membership Subscription 9,680 Sundry Receipts 1,332 Sale of tickets 2,936 Entrance Fees 9,048 Capital Fund 19,200 696 12,776 6,472 8,760 6,400 3,040 90,340 Note: Treat Entrance Fees as Revenue Receipt. Debit Balances Furniture Billards table China Glass Cutlery Repairs Salaries & Wages Cash at Bank Cash in Hand Rent & Telephones Fuel & Light Entertainment Expenses Sundry Expenses Annual Dinner Rs. 42,240 6,972 12,936 1,792 26,400

90,340

Problem: 7 The Receipts & Payments Accounts of Friends Cricket Club for the year ended 30-061991 Particulars To Balance b/d To Subscription 1990 850 1991 40,000 1992 1,000 To Donations To Entrance Receipts To Interest from Bank Additional Information: a) b) c) d) e) f) Capital Fund Rs. 71,250 Fixed Assets Rs. 50,000 There are 450 members each paying Rs. 100 Annual Subscription. Half of the amount of Donations to be treated as capital receipts Wages Outstanding Rs. 200 Depreciate Fixed Assets by Rs. 2,000 Rs. Particulars 20,400 By Salaries & Wages By Entertainment Expenses By Electricity Charges By General Expenses 41,850 By Rent & Taxes 12,000 By Fixed Deposits 8,800 By Printing & Stationery 800 By Government Bonds By Balance c/d 83,850 Rs. 13,000 6,450 2,340 3,500 1,200 40,000 2,410 10,000 4,950 83,850

Prepare Income & Expenditure Account of the Club for the year ending 30th June 2091 and the Balance Sheet as on that date.