Question

Question

Answer 1

Income and Expenditure Account for the year ending March 31,2013
Dr.					Cr.
Expenditure		Amount (Rs)	Income		Amount (Rs)
Salaries		18,200	Subscription	46,100
Printing & Stationery		7,300	Less: Outstanding in the beginning (2011-12)	4,500
Rent	15,000		Add: Outstanding at the end (2012-13)	6,000	47,600
Less: Outstanding in the beginning	1,000		Interest		2,500
Add: Outstanding at the end	1,500	15,500	Donation		6,000
Depreciation on Furniture (WN)		1,250	Receipts from advertisement in the year book		5,200
Expenditure on Charity Show		16,100
Surplus (Excess of Income over Expenditure)		2,950
		61,300			61,300

Balance Sheet as on March 31,2013
Liabilities		Amount (Rs)	Assets		Amount (Rs)
Outstanding Rent		1,500	Cash		16,100
Tournament Fund	12,000		Subscription Outstanding		6,000
Less: Tournament Expenses	7,500	4,500	Furniture	8,000
Donation for Building Extension		20,000	Add: Additions	6,000
Capital Fund	30,900		Less: Depreciation	1,250	12,750
Add: Surplus	2,950	33,850	Investments	15,000
			Add: Additions	10,000	25,000
		59,850			59,850

Balance Sheet as on March 31,2012
Liabilities	Amount (Rs)	Assets	Amount (Rs)
Outstanding Rent	1,000	Cash	4,400
Capital Fund (Balancing Figure)	30,900	Outstanding Subscription	4,500
		Furniture	8,000
		Investments	15,000
	31,900		31,900

Working Notes: Calculation of Depreciation on Furniture