Donation received for a special purpose :

should be credited to Income and Expenditure Account

No worries! We‘ve got your back. Try BYJU‘S free classes today!

should be credited to separate account and shown in the Balance Sheet.

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

should be shown on the assets side.

No worries! We‘ve got your back. Try BYJU‘S free classes today!

should not be recorded at all

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B
should be credited to separate account and shown in the Balance Sheet.

Donation received for a special purpose should be shown on the liabilities side of balance sheet

Suggest Corrections

Similar questions

A non-profit organisation received Rs 60,000 as a donation from new member. Out of this, 20% of the donation should be used for constructing a building. What is the amount of donation that needs to be shown in the income and expenditure account?

Accrued income is credited to the profit and loss account and shown in the balance sheet as a current asset. Why?

Q. On the retirement of a partner, profit on the adjustment in the value of assets should be credited to the capital accounts of ___________.

Q. Rent paid to landlord should be credited to _________ account.

Q. Bad debt amount should be credited to the _________ account.

Join BYJU'S Learning Program

Donation received for a special purpose :

The correct option is B should be credited to separate account and shown in the Balance Sheet. Donation received for a special purpose should be shown on the liabilities side of balance sheet

The correct option is B
should be credited to separate account and shown in the Balance Sheet.

Donation received for a special purpose should be shown on the liabilities side of balance sheet