Following is the Balance Sheet and Receipts and Payments Account of the Sevagiri Hospital, Satara.
Prepare Income and Expenditure account for the year ended on 31 st March, 2013 and Balance Sheet as on that date :
Balance Sheet as on 1st April, 2012
| Liabilities | Amount (Rs.) | Assets | Amount (Rs.) |
| Capital fund | 1000000 | Cash in hand | 6000 |
| Outstanding Salaries | 22000 | Cash at bank | 30000 |
| Medical bill unpaid | 6000 | Land and building | 800000 |
| Furniture | 70000 | ||
| Equipments | 120000 | ||
| Outstanding Subscription | 2000 | ||
| 1028000 | 1028000 |
Receipts and Payments Account for the year ending 31.03.2013
| Dr. | Cr. | ||
| Receipts | Amount (Rs.) | Payments | Amount (Rs.) |
|
To Balance b/d Cash in hand Cash at bank |
6000 30000 |
By Salaries (including of previous year) |
110000
|
|
To Subscription (includes 2000 received for previous year) |
130000
|
By Medicines | 48000 |
|
To Sale of old furniture (book value Rs. 30000) |
20000
|
By Equipment purchased | 20000 |
|
To Donations (revenue) |
44000
|
By Taxes | 3000 |
| To Life membership fees | 25000 | By General expenses | 8600 |
|
By Balance c/d Cash in hand Cash at bank |
15400 50000 |
||
| 255000 | 255000 |
Consider the following adjustments :
- Outstanding subscription Rs. 15,000.
- Capitalise the amount of life membership fees.
- Pre-paid taxes Rs. 500.
- Outstanding salary Rs. 12,000.
- Write off depreciation Rs. 20,000 from land and building and Rs. 30,000 from equipments.
- Outstanding medicine bill as on 01.04.2012 is still due.
Solution
In The Books of Sevagiri Hospital, Satara
Income and Expenditure A/c for the year ended 31.03.2013
|
Expenditure
|
Amount Rs.
|
Amount Rs.
|
Income
|
Amount Rs.
|
Amount Rs.
|
|
To Salaries
|
110000
|
By Subscription
|
130000
|
||
|
(-) Outstanding of last year
|
22000
|
(-) Outstanding of last year
|
2000
|
||
|
88000
|
128000
|
||||
|
(+) Outstanding of current year
|
12000
|
100000
|
(+) OUtstanding of Current year
|
15000
|
143000
|
|
To Medicines
|
48000
|
By Donations
|
44000
|
||
|
To Taxes
|
3000
|
||||
|
(-) Prepaid Tax
|
500
|
2500
|
|||
|
To General Expxenses
|
8600
|
||||
|
To Depreciationn on :
|
|||||
|
Building
|
20,000
|
||||
|
Equipments
|
30,000
|
50,000
|
|||
|
Too Los on Sale of furniture
|
10,000
|
||||
|
By Deficit c/d
[ Incoome over Expenditure]
|
32100
|
||||
|
219100
|
219100
|
Balance Sheet as on 311.03.2013
|
Liailities
|
Amount Rs.
|
Amount Rs.
|
Assets
|
Amount Rs.
|
Amount Rs.
|
|
Capiital Fund:
|
10,00,000
|
Land & Building
|
800000
|
||
|
(+) Life Membership Fees
|
25000
|
(-) Depreciationo
|
20,000
|
7,80,000
|
|
|
(-) Deficit
|
32,100
|
9,92,900
|
Furniture
|
70,000
|
|
|
Outstanding Salaries
|
12000
|
(-) Furniture Sold
|
30000
|
40000
|
|
|
Outstanding Medical Bill
|
6000
|
Equipments
|
120000
|
||
|
(+) Equipments Purchased
|
20,000
|
||||
|
140000
|
|||||
|
(-) Depreciation
|
30,000
|
110000
|
|||
|
Outstanding Subscription
|
15,000
|
||||
|
Prepaid Taxes
|
500
|
||||
|
Cash in Hand
|
15,400
|
||||
|
Cash at Bank
|
50,000
|
||||
|
10,10,900
|
10,10,900
|
