Plz answer all questions - Accountancy - Introduction to Accounting

Question

Plz answer all questions

Neha Chopra · Accepted Answer

Dear Student,

We are providing solution to problem no 20 & 21 To get
answers/solutions to other questions quickly we request you to ask
them in separate threads

Ans 20)

Basis of
Difference

Receipts & Payments Account

Income & Expenditure A/c

a)
Definition

It is just like cash book which records all cash/Bank receipts
& payments

It is like Profit & loss A/c which records all expenses &
income for the period irrespective of Cash
paid/received

b) Debit & Credit
side

Debit side of the account records all receipts & credit side
records all payments

Debit side of the account records all expenses & credit side
records all income

c)
Transactions

Both Capital & revenue Transactions are recorded
here

Only Revenue Transactions are recorded here

d) Opening & Closing
Balances

This account shows opening & closing balance of Cash
Balance

This account does not have any opening balance; and the closing
balance is either the surplus or Deficit

Ans 21)

Amount of Stationery to
be debited to Income & Expenditure A/c

Particulars
Amount (in
Rs)

Opening Stock of
Stationery
12,000

Add: Purchases of
Stationery (W N )
138,400

Less: Closing Stock of
Stationery
-23,200

127,200

W N

Particulars
Amount (in
Rs)

Creditors as on 31st Mar
2014
24,000

Add: Payment made during
the year
140,000

Less: Creditors as on 1st
Apr 2013
-25,600

Purchases of Stationery
during the year

138,400

Regards,

Basis of Difference	Receipts & Payments Account	Income & Expenditure A/c
a) Definition	It is just like cash book which records all cash/Bank receipts & payments	It is like Profit & loss A/c which records all expenses & income for the period irrespective of Cash paid/received.
b) Debit & Credit side	Debit side of the account records all receipts & credit side records all payments	Debit side of the account records all expenses & credit side records all income
c) Transactions	Both Capital & revenue Transactions are recorded here	Only Revenue Transactions are recorded here
d) Opening & Closing Balances	This account shows opening & closing balance of Cash Balance	This account does not have any opening balance; and the closing balance is either the surplus or Deficit.

Amount of Stationery to be debited to Income & Expenditure A/c
Particulars	Amount (in Rs)
Opening Stock of Stationery	12,000
Add: Purchases of Stationery (W.N.)	138,400
Less: Closing Stock of Stationery	-23,200
	127,200

Particulars	Amount (in Rs)
Creditors as on 31st Mar 2014	24,000
Add: Payment made during the year	140,000
Less: Creditors as on 1st Apr 2013	-25,600
Purchases of Stationery during the year	138,400