Question

(Accounting of a School)
From the information given below of Jeevan Vikas Vidyalaya Khamgaon, You are required to prepare, Income and Expenditure Account and Balance Sheet for the year ending on 31.03.2011.
                                Balance Sheet as at 01.04.2010

Liabilities	Amount (Rs.)	Assets	Amount (Rs.)
Capital Fund	499,100	Library Books	115,500
Loan	500,000	Laboratory Equipments	125,000
		Furniture	110,000
		Building	625,000
		Cash in Hand	3,500
		Cash at Bank	20,100
	999,100		999,100

 Receipts and Payments Account for the year ending 31.03.2011
Dr.                                                                                                      Cr.

Receipts	Amount (Rs.)	Payments	Amount (Rs.)	Amount (Rs.)
To Balance b/d		By Salaries		625,200
Cash in Hand	3,500	By Purchases i. Laboratory Equipments ii. Library Books iii. Furniture	10,000 50,000 20,000	80,000
Cash at Bank	20,100	By Sundry Expenses		10,000
To Tuition Fees	367,500	By Printing and Stationery		35,800
To Term Fees	35,000	By Annual Social Gathering Expenses		18,000
To Admission Fees	30,600	By Balance c/d Cash in Hand Cash at Bank		4,000 35,000
To Government Grant (Revenue)	350,000
To Sundry Receipts	1,300
	808,000			808,000

Adjustments:
1) Tuition Fees Outstanding Rs 13,500
2) Outstanding Interest on Loan Rs 60,000
3) Entire admission Fees are to be Capitalized.
4) Depreciation is to be written off as under:

Library Books                 Rs 50,000	Furniture                        Rs 30,000
Laboratory Equipment   Rs 20,000	Building                         Rs 30,000

Answer 1

Jivan Vikas Vidyalaya, Khamgaon

Income and Expenditure Account

for the year ending March 31,2011

Dr.                                                                                                          Cr.

Expenditure	Amount (Rs)	Amount (Rs)	Income	Amount (Rs)	Amount (Rs)
Printing and Stationery		35,800	Tuition Fess	367,500	381,000
Sundry Expenses		10,000	Less: Outstanding at the end	13,500
Annual Social Gathering Expenses		18,000	Term Fees		35,000
Outstanding Interest on Loan		60,000	Government Grants		350,000
Salaries paid		625,200	Sundry Receipts		1,300
Depreciation on: Furniture	30,000	130,000	Deficit (Excess of Expenditure over Income)		111,700
Library Books	50,000
Laboratory Equipment	20,000
Building	30,000
		879,000			879,000

                           

Balance Sheet

as on March 31,2011

Liabilities	Amount (Rs)	Amount (Rs)	Assets	Amount (Rs)	Amount (Rs)
Capital Fund		418,000	Furniture	110,000	100,000
Opening Balance	499,100		Add: Purchases	20,000
Add: Admission Fess	30,600			130,000
Less: Deficit	111,700		Less: Depreciation	30,000
Loan		500,000	Outstanding Tuition Fees		13,500
Outstanding Interest on Loan		60,000	Library Books	115,500	115,500
			Add: Purchases	50,000
			Less: Depreciation	50,000
			Laboratory Equipment	125,000
			Add: Purchases	10,000
			Less: Depreciation	20,000	115,000
			Building	625,000
			Less: Depreciation	30,000	595,000
			Investment in Securities		-
			Stock of Food Stuff		-
			Cash  in Hand		4,000
			Cash in Bank		35,000
		978,000			978,000