Answers

Illustration 1:
Following is the Receipt and Payment Account of GFG Foundation for the
year ending 31st March 2021:

On 1st April 2020, the club owned land and building worth ₹80,000 and
Furniture worth ₹21,000. There were 300 members on that date and annual
subscription fee was ₹200 per person. The Book Value of the car was
₹50,000. Subscriptions due on 31.3.2020 and on 31.3.2021 were ₹6,800
and ₹4,000 respectively. Interest on Investment accrued at the beginning
and at the end of the year was ₹1,600 and ₹ 2,000 respectively.
Prepare Income and Expenditure Account and Balance Sheet for the year
ending 31st March, 2021.
Solution:
Illustration 2:
Prepare Income and Expenditure Account and Balance Sheet for the year
ending 31st March, 2021 from the following the Receipt and Payment
Account of Geeks Club.

Additional Information:
1. Subscription Outstanding on 31.3.2020 = ₹2,000
2. Subscription Outstanding on 31.3.2021 = ₹2,700
3. Advance Subscription on 31.3.2020 = ₹750
4. Advance Subscription on 31.3.2021 = ₹1,050
5. Outstanding Rent for two months at the beginning and end of the year was
₹1,250.
6. Premises worth ₹27,500 and investment at ₹10,000 stood on 31.3.2020.
Solution: