Is Capital receipt is recorded in income & expenditure account or not ? For example if sale of furniture is given in receipt & payment account with out any book value in receipt & payment account then it will be recorded or not ? & why ?
Subscription received during 2002 : for 2001 Rs. 10,000 , for 2002 Rs. 60,000 , for 2003 Rs. 12,000.
Subscription received in advance as at 31.12.2001 - Rs. 12,000.
Subscription outstanding as at 31.12.2001-Rs. 12,000
Subscription outstanding for the year 2002- Rs. 18,000
Q. Prepare the subscription account from the following items for the year ending on March 31, 2003.
Subscription in arrears on 31.03.2002 -Rs. 1000.
Subscription received in advance on 31.03.2002 - Rs. 2200.
Total subscription received during 2002-2003( including Rs. 800 for 2001-2002 , Rs. 1800 for 2003-2004 and Rs. 600 for 2004-2005)-Rs. 70800.
Subscription outstanding for 2002-2003 - Rs. 800.
Q.6. From the following extracts of the receipts and payments account and the additional information, you are required to compute the income from subscription for the year ending on December 31,2002 and show the subscription items in the expenditure account and the balance sheet as on 31.12.2002.
Information
Subscription outstanding as on 31.12.2001 Rs 9,200, subscription received in advance as on 31.12.2001,
Rs 2,800 (including Rs 800 for 2002). There are 1,440 members each paying an annual subscription of Rs 100.
Q.7. How will you deal with the following items while preparing the income and expenditure account for the year ending on 31st December, 2003 and the balance sheet as on that date ?
Subscription outstanding as on 31.12.2002; Rs 9,500 (including Rs 500 for 2001), subscription received in advance as on 31.12.2002, Rs 3,000 (including Rs 200 for 2004).
Subscription received during 2003 : for 2001 Rs 400, for 2002 Rs 8,9000, for 2003 Rs 1,34,400, for 2004
Rs 4,000, for 2005 Rs 1,200.
1)op. cash bal. 1,20,0000
2)outstanding subscription receivable 58,000
3)outstanding membership fee 23000
4)Pre-received membership fee 29000
5)Life membership fee received 35000
6)Cash received from sale of furniture 77,000
7)Expenditure made to buy sports equipment 33,000
Is Capital receipt is recorded in income & expenditure account or not ?
For example if sale of furniture is given in receipt & payment account with out any book value in receipt & payment account then it will be recorded or not ? & why ?