Life membership fees received by a club are shown in______________.

Balance sheet

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Income and Expenditure Account

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Trading and Profit and Loss Account

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None of the above

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Solution

The correct option is C Balance sheet
Some organisations provide its members an option to pay a lump sum amount to become members for the whole life. The members opting for the life membership are not required to pay periodic subscription. As this is received only once it is transferred to the Capital fund Account in Balance Sheet.

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