CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Analysing Statement of Profit and Loss

State whether...

Question

State whether the following statements are True or False.

Charitable Institutions prepare Profit and Loss Account, at the end of every financial year.

Open in App

Solution

False

Explanation: Charitable institutions are not-for-profit organisations. So, these organisations prepare Income and Expenditure Account, rather than Profit and Loss Account, which is prepared by profit-making organisations.

Suggest Corrections

thumbs-up

0

Similar questions

Q. State the following statement is True or False:

The report prepared by the director at the end of every financial year is called Annual Report or Director Report.

Q. State whether the following statements are True or False:
Credit balance of profit and loss account shows net profit.

Q. State whether the following statements are true or false :

Retiring partner’s share in profit up to the date of his retirement will be debited to profit and loss suspense account.

Q. State whether the following statement is True or False.
Trial balance is prepared at the end of the accounting year.

Q. State whether the following statements are true or false :

Profit on revaluation account is transferred to continuing partners’ capital account only.

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Statement of Profit and Loss

ACCOUNTANCY

Watch in App

explore_more_icon

Explore more

Analysing Statement of Profit and Loss

Standard XII Accountancy

Join BYJU'S Learning Program

CrossIcon