There is no difference between Receipts and Payments Account and Income and Expenditure Account. They do not carry any Trading activity or Manufacturing activity so there is no question of having a profit motive for ‘Not for Profit’ concerns.Ĭharitable Institutions prepare Profit and Loss Accounts at the end of every financial year.Ĭharitable Institutions, Not for Profit concerns, do not undertake any trading activities and hence instead of Profit and Loss Account prepare Income-Expenditure Account to record all revenue expenses/losses and revenue incomes/gains of the current year. Not for profit concerns, the main aim is to give services to its members or to the society at large. Not for Profit concerns do not have a profit motive. State whether the following statements are True or False with reasons. To excess of total assets over total liabilities of a Not for Profit concern.Īll such receipts are non-recurring in nature and not forming a part of a regular flow of income.Ĭ. The credit balance of Income and Expenditure Account. The income is earned during the year but not received during the year. The Receipts are not recurring in nature.Īn Account that records only revenue items in case of Not a for-profit concern.Īccounts which records only cash transactions in case of Not for Profit concerns. The Form of Organization providing services to the society only.Īn account which is prepared by Not for Profit concern instead of Profit and Loss Account.ĭonations are received for a specific purpose. Write the Word/Phrase/Term, which can substitute each of the following Statements. Not for Profit organization is also called _ organization.Įxpenditure on Purchase of Building is a _ Expenditure.ī. The closing balance of Receipts and Payments Account usually represent _ Not for Profit concern prepares _ Account instead of Profit and Loss Account to know the result. Subscription received in advance during the accounting year is _Įxcess of Income over Expenditure is termed as _ Outstanding subscription at the end of the Accounting Year represents _ Income and Expenditure Account is a _ Account. Not for Profit concern renders _ services to public at large.ĭonation for Scholarship Fund is _ Select the most appropriate alternatives from the following and rewrite the sentences: Maharashtra State Board 12th Book Keeping & Accountancy Solutions Chapter 2 Accounts of ‘Not for Profit’ ConcernsĪ. Goel are classified into more chapters, intended to enhance the understanding of each topic of the syllabus.Balbharti Maharashtra State Board 12th Commerce Book Keeping & Accountancy Solutions Chapter 2 Accounts of ‘Not for Profit’ Concerns Textbook Exercise Questions and Answers.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |