Question

How are the following items of subscriptions shown in the Income and Expenditure Account for the year ended 31st March, 2019 and Balance Sheets as at 31st March, 2018 and 2019?

	₹
Subscriptions received during the year ended 31st March, 2019	3,58,500
Subscriptions outstanding on 31st March, 2018	30,000
Subscriptions received in Advance on 31st March,2018	22,500
Subscriptions received in Advance on 31st March, 2019	13,500
Subscriptions outstanding on 31st March, 2019	37,500

(including ​₹ 12,500 for the year ended 31st March, 2018)

Answer 1

Income and Expenditure Account for the year ended March 31, 2019
Dr.						Cr.
Expenditure		Amount (Rs)	Income		Amount (Rs)
			Subscriptions	3,58,500
			Add: Outstanding at the end	37,500
			Add: Advance in the beginning	22,500
			Less: Outstanding in the beginning	30,000
			Less: Advance at the end	13,500	3,75,000

Balance Sheet as on March 31, 2018
Liabilities	Amount (Rs)	Assets	Amount (Rs)
Subscription received in Advance	22,500	Subscriptions Outstanding	30,000

Balance Sheet as on March 31, 2019
Liabilities	Amount (Rs)	Assets	Amount (Rs)
Subscription received in Advance	13,500	Subscriptions Outstanding	37,500