Question

Prepare Income and Expenditure Account  from the following Receipts and Payments Account of Delhi Nursing Society for the year ended 31st March, 2019

Dr.		Receipts and Payment Account for the year ended 31st March, 2019		Cr.
Receipts		Amount (₹)	Payments	Amount (₹)
To Balanceb/d  (Cash at Bank)		2,01,000	By Salaries of Nurses	65,600
To Sunscriptions		1,11,500	By Board, Laundry and Domestic Help	38,000
To Fees from Non-members		27,000	By Rent, Rates and Taxes	20,000
To Government Grant		1,00,000	By Cost of Car	2,00,000
To Donations for Building Fund		1,56,000	By Expenses of Car	84,000
To Interest		3,800	By Drugs and Incidental Expenses	67,000
			By Balance c/d (Cash at Bank)	1,24,700
		5,99,300		5,99,300

Donation of ₹ 10,000 received for Building Fund was wrongly included in the Subscriptions Account. A bill of medicines purchased during the year amounted to ​₹12,800 was outstanding. Government Grant is not for a specific purpose.

Answer 1

Book of Delhi Nursing Society
Dr.	Income and Expenditure Account for the year ended 31st March, 2019				Cr.
Expenditure	Amount (₹)	Amount (₹)	Income	Amount (₹)	Amount (₹)
To Salaries of Nurses		65,600	By Subscriptions	1,11,500	1,01,500
To Board, Laundry and Domestic Help		38,000	Less: Donation for Building	(10,000)
To Rent, Rates and Taxes		20,000	By Fees from Non-members		27,000
To Expenses of Car		84,000	By Municipal Grant		1,00,000
To Drugs and Incidental Expenses	67,000	79,800	By Interest		3,800
Add: Outstanding Expenses	12,800		By Deficit (Balancing Figure)		55,100
		2,87,400			2,87,400