Q1.
Preparation of Income and Expenditure Account
and Statement of Affairs.
From the following data, prepare an Income
and Expenditure Account for the year ended 31st December 2017, and a
Statement of Affairs as at that date of the Peacock Hospital:
Receipts and Payments Account for the year ended 31st
December 2017
|
Receipts
|
Rs.
|
Payments
|
Rs.
|
|
To Balances:
|
|
|
By Salaries (Rs. 36,000 for 2016)
|
|
1,56,000
|
|
Cash
|
4,000
|
|
By Hospital Equipment
|
|
85,000
|
|
Bank
|
26,000
|
30,000
|
By Furniture Purchased
|
|
30,000
|
|
To Subscriptions:
|
|
|
By Additions to Building
|
|
2,50,000
|
|
For 2016
|
|
25,500
|
By Printing and Stationery
|
|
12,000
|
|
For 2017
|
|
1,22,500
|
By Diet Expenses
|
|
78,000
|
|
For 2018
|
|
12,000
|
By Rent and Rates
(Rs. 1,500 for 2018)
|
|
10,000
|
|
To Government Grant:
|
|
|
By Electricity and Water Charges
|
|
12,000
|
|
For Building
|
|
4,00,000
|
By Office Expenses
|
|
10,000
|
|
For Maintenance
|
|
1,00,000
|
By Investments
|
|
1,00,000
|
|
To Fees from Sundry Patients
|
|
24,000
|
By Balances:
|
|
|
|
To Donations (not to be capitalized)
|
|
40,000
|
Cash
|
7,000
|
|
|
To Net Collections from Benefit Shows
|
|
30,000
|
Bank
|
34,000
|
41,000
|
|
Total
|
7,84,000
|
Total
|
7,84,000
|
Additional information:
|
Particulars
|
Rs.
|
|
Value of Building under construction as on
31.12.2017
|
7,00,000
|
|
Value of Hospital Equipment on 31.12.2017
|
2,55,000
|
|
Building Fund as on 01.01.2016
|
4,00,000
|
|
Subscriptions in Arrears as on 31.12.2016
|
32,500
|
Investments in 8 % Govt. Securities were made
on 1st July 2017.
see in detail
Q2.
Preparation of Income and Expenditure A/c and
Balance Sheet RTP, M 96
From the following Receipts & Payments A/c
of Excellent Club for the year ended 31.03.2018 and additional information,
prepare an Income & Expenditure A/c for the year ended 31.03.2018 and
Balance Sheet as on 31.03.2018:
|
Receipts
|
Rs.
|
Payments
|
Rs.
|
|
Opening Balance of Cash & Bank
|
3,180
|
Secretary’s Salary
|
12,000
|
|
Subscription
|
18,000
|
Salaries to Staff
|
25,000
|
|
Sale of Old Newspapers
|
2,500
|
Charities
|
1,000
|
|
Legacies
|
4,000
|
Printing and stationery
|
600
|
|
Interest on investments
|
2,000
|
Postage Expenses
|
120
|
|
Endowment Fund Receipts
|
20,000
|
Rates and Taxes
|
1,500
|
|
Proceeds of Sport and Concerts
|
4,020
|
Upkeep of land
|
2,000
|
|
Advertisement in the year book
|
5,000
|
Purchase of Sports Materials
|
10,000
|
|
|
|
Telephone Expenses
|
3,480
|
|
|
|
Closing Balance of Cash & Bank
|
3,000
|
|
Total
|
58,700
|
Total
|
58,700
|
Assets and Liabilities as on 31.03.2017 and 31.03.2018
were as follows:-
|
Particulars
|
31.03.2017
|
31.03.2018
|
|
Subscription in Arrears
|
2,000
|
1,000
|
|
Subscription Received in Advance
|
500
|
400
|
|
Furniture
|
2,000
|
1,800
|
|
Land
|
10,000
|
10,000
|
Additional
Information:
1. Depreciation is charged at 10% p.a. under
the Diminishing Value Method.
2. Legacies received shall be capitalized.
3. Investments were made in securities,
bearing 12% p.a. Interest, the date of investment was 01.06.2016 and the amount
of Investments was Rs. 20,000. Due date of interest is 31st March of
every year.
4. Stock of Sports Materials on 31.03.2018
was useless and valued at NIL Price.
see in detail
Q3.
Preparation of Income and Expenditure A/c and
Balance Sheet.
From the following Receipts and Payments
account of Mumbai Club, prepare Income and Expenditure Account for the year
ended 31.12.2017 and its Balance Sheet as on that date:
|
Receipts
|
Rs.
|
Payments
|
Rs.
|
|
Cash in Hand (Opening)
|
4,000
|
Salary
|
2,000
|
|
Cash at Bank (Opening)
|
10,000
|
Repair Expenses
|
500
|
|
Donations
|
5,000
|
Purchase of Furniture
|
6,000
|
|
Subscriptions
|
12,000
|
Miscellaneous Expenses
|
500
|
|
Entrance Fees
|
1,000
|
Purchase of Investments
|
6,000
|
|
Interest on Investments
|
100
|
Insurance Premium
|
200
|
|
Interest Received from Bank
|
400
|
Billiards 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
|
|
Total
|
33,700
|
Total
|
33,700
|
Information:
1. Subscriptions in Arrear for 2017 Rs. 900
and Subscriptions in Advance for 2018 - Rs. 350.
2. Insurance Premium Outstanding Rs. 40,
Miscellaneous Expenses Prepaid Rs. 90.
3. 50% of Donation is to be capitalized.
4. Entrance Fees are to be treated as Revenue
Income.
5. 8% Interest has Accrued on Investments for
5 months.
6. Billiards Table costing Rs. 30,000 were
purchased during the last year and Rs. 22,000 was paid for it.
see in detail
Q4.
Preparation of Income and Expenditure Account
and Balance Sheet.
The Accountant of Raman Club furnishes you
the Receipts & Payments A/c for the year ending 31st March 2018:
|
Receipts
|
Rs.
|
Payments
|
Rs.
|
|
Opening Balance: Cash and Bank
|
16,760
|
Honorarium to Secretary
|
9,600
|
|
Subscription
|
21,420
|
Misc. Expenses
|
3,060
|
|
Sale of Old Newspapers
|
4,800
|
Rates and Taxes
|
2,520
|
|
Entertainment Fees
|
8,540
|
Groundman’s Wages
|
1,680
|
|
Bank Interest
|
460
|
Printing and Stationery
|
940
|
|
Bar Receipts
|
14,900
|
Telephone Expenses
|
4,780
|
|
|
|
Payment for Bar Purchases
|
11,540
|
|
|
|
Repairs
|
640
|
|
|
|
New Car (Less Sale Proceeds of Old Car -
Rs. 6,000)
|
25,200
|
|
|
|
Closing Balance of Cash and Bank
|
6,920
|
|
Total
|
66,880
|
Total
|
66,880
|
Additional
Information:
|
Particulars
|
01.04.2017
|
31.03.2018
|
|
Subscription due (not received)
|
2,400
|
1,960
|
|
Cheques issued but not presented, for
payment for printing
|
180
|
60
|
|
Club Premises at Cost
|
58,000
|
-
|
|
Depreciation on Club Premises provided so
far
|
37,600
|
-
|
|
Car at Cost
|
24,380
|
-
|
|
Depreciation on Car provided so far
|
20,580
|
-
|
|
Value of Bar Stock
|
1,420
|
1,740
|
|
Amount unpaid for Bar Purchases
|
1,180
|
860
|
Depreciation is to be provided at 5% p.a. on
the Written Down Value of the Club Premises and at 15% on car for the whole
year. Prepare an Income and Expenditure Account of Raman Club for the year
ending 31st March 2018, and a Balance Sheet as on that date.
see in detail
Q5.
Preparation of Income and Expenditure Account
and Balance Sheet.
The Receipts and Payments Account of Navkar
Football Club for the year ended 31st March 2018 was as under:
|
Particulars
|
Rs.
|
Particulars
|
Rs.
|
|
To balance b/d
|
48,000
|
By Purchase of Balls
|
80,000
|
|
To Subscriptions
|
2,46,000
|
By Tournament Fees
|
10,000
|
|
To Interest
|
2,000
|
By Affiliation Fees
|
2,000
|
|
To Sale of Furniture
|
10,000
|
By Rent of Playground
|
5,000
|
|
To Donations for Club building
|
60,000
|
By Refreshment to players
|
4,000
|
|
|
|
By Travelling Expenses
|
30,000
|
|
|
|
By Investment Purchased at Face Value
|
1,00,000
|
|
|
|
By Salary
|
12,000
|
|
|
|
By Miscellaneous Expenses
|
8,000
|
|
|
|
By balance c/d
|
1,15,000
|
|
Total
|
3,66,000
|
Total
|
3,66,000
|
Prepare the Club’s Income and Expenditure
Account for the year ended 31st March 2018, and the Balance Sheet as
on that date, after taking the following information into account -
• The Subscription received includes Rs.
10,000 Outstanding Subscription of the year 2012 - 2017. Subscription for the
year 2017 - 2018 amounting to Rs. 16,000 is still outstanding from Members.
Some Members have paid Subscription for the year 2018 - 2019 amounting to Rs.
8,000 which is included in the Subscriptions Received.
• Interest accrued but not received Rs. 500.
• Book Value of the Furniture sold was Rs.
14,000.
• Rent of Playground Rs. 6,000 and Salary Rs.
5,000 of the year 2017 - 2018 are still outstanding, and Rent of Playground of
the year 2012 - 2017 Rs. 1,000 has been paid during this year.
• There is Stock of Balls with the Club Rs.
4,000 on 31st March 2018.
see in detail
