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Non-Trading Organisation 23.9

BALANCE SHEET as at 31st March, 2020
Liabilities ` Assets `

Capital Fund (WN 1) 1,69,500 Building 40,000
Add: Donations 14,500 Less: Depreciation 2,000 38,000
1,84,000 Equipment 21,000
Less: Deficit—Excess of Expenditure Add: Purchases 15,000
over Income 8,000 1,76,000 36,000
Subscriptions Received in Advance 500 Less: Depreciation (WN 6) 6,000 30,000
Creditors for Medicines 12,000 Stock of Medicines 15,000
Investments (WN 5) 1,00,000
Subscriptions Outstanding 1,000
Cash in Hand 4,500
1,88,500 1,88,500

Working Notes:
1. BALANCE SHEET as at 1st April, 2019
Liabilities ` Assets `

Subscriptions Received in Advance 1,000 Building 40,000
Creditors for Medicines 8,000 Equipment 21,000
Capital Fund (Balancing Figure) 1,69,500 Stock of Medicines 10,000
Subscriptions Due 500
Investments (WN 5) 1,00,000
Cash in Hand 7,000
1,78,500 1,78,500

2. Subscriptions Income for the year ended 31st March, 2020: `
Subscriptions Received during the year 50,000
Add: Subscriptions Due (31st March, 2020) 1,000
Subscriptions Received in Advance (31st March, 2019) 1,000 2,000
52,000
Less: Subscriptions Received in Advance (31st March, 2020) 500
Subscriptions Due (31st March, 2019) 500 1,000
Subscriptions Income for the year ended 31st March, 2020 51,000

3. Dr. CREDITORS FOR MEDICINES ACCOUNT Cr.
Date Particulars ` Date Particulars `
? To Cash A/c (Payment) 30,000 2019
2020 April 1 By Balance b/d 8,000
March 31 To Balance c/d 12,000 April 1 By Medicines A/c (Purchases) 34,000
(Balancing Figure)
42,000 42,000

4. Medicines Consumed = Opening Stock + Purchases – Closing Stock
= ` 10,000 + ` 34,000 (WN 3) – ` 15,000 = ` 29,000.

5. Interest on investments received ` 7,000 in 2019–20 indicates that there were investments in the beginning
of 2019–20. The rate of interest is 7%. So, the value of investments = 100/7 × ` 7,000 = ` 1,00,000.