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Non-Trading Organisation 23.31

Illustration 18.

From the following Receipts & Payments Account of Mayur Vihar Football Club and
additional information, prepare an Income & Expenditure Account for the year ended
31st March, 2020:

RECEIPTS & PAYMENTS ACCOUNT
Dr. for the year ended 31st March, 2020 Cr.
Receipts ` Payments `
To Cash in Hand on 1st April, 2019 10,200 By Purchases of Ball 65,000
To Cash at Bank as per Pass Book 30,000 By Tournament Fees 10,000
To Subscriptions 2,45,000 By Affiliation Fees for 5 Years 2,000
To Interest on Investment 1,800 By Rent of Playground 6,000
To Sales of Tickets for Variety Programme 20,000 By Expenses on Variety Programme 15,000
To Sale of Furniture on 30th September, 2019 9,000 By Refreshment Expenses 4,000
To Donations for Club Building 50,000 By Travelling Expenses 20,000
To Legacy 11,000 By Furniture bought on 1st October, 2019 5,000
By Repairs to Building 5,000
By Advance paid to Contractor for
Pavilion Building 50,000
By Salary 15,000
By Telephone Bill 1,500
By Miscellaneous Expenses
(including honorarium of ` 3,000) 8,000
By 12% Investments (Face value ` 1,70,000)
bought on 31st December, 2019 1,50,000
By Cash in Hand on 31st March, 2020 8,500
By Balance in the Bank as per Pass Book
on 31st March, 2020 12,000
3,77,000 3,77,000

Additional Information:
(i) Subscriptions received include ` 9,000 outstanding subscriptions of the year 2018–19.
Subscriptions for the year 2019–20 amounting to ` 16,000 is still outstanding. Some
members have paid subscriptions for the year 2020–21 amount to ` 8,000 which is
included in the subscriptions received.
(ii) Face value of 12% Investments on 31st March, 2019 was ` 15,000 (cost price ` 12,000).
(iii) Book value of furniture sold on 1st April, 2019 was ` 12,000 depreciation being 20% p.a.
Provide depreciation on new furniture at the same rate.
(iv) Telephone bill for one quarter is outstanding, the amount outstanding being ` 300. The
charge for each quarter is same both for 2018–19 and 2019–20.
(v) Unpresented cheques for repairs to building being ` 4,000 for 2018–19 and ` 12,000 for
2019–20.
(vi) Stock of Balls with the club on 31st March, 2020 amounted to ` 6,000.