Advertisements
Advertisements
Question
How will the following items be treated while preparing the financial statements of a not-for-profit-organization for the year ended 31st March, 2019.
| As at 31-3-18 (₹) | As at 31-3-19 (₹) | |
| Creditors for stationery | 78,000 | 50,000 |
| Stock of stationery | 62.000 | 41,000 |
During 2018-19, payment made to creditors was ₹ 1,80,000.
Ledger
Advertisements
Solution
In the books of ….
Income & Expenditure A/c
| Dr. | for the year ended 31st March, 2019 | Cr. | |
| Expenditure |
Amount (₹)
|
Income | Amount (₹) |
| To Sports Material (WN 1) |
1,73,000
|
||
Balance Sheet as at 31st March, 2019
| Liabilities | Amount (₹) | Assets | Amount (₹) |
| Creditors for Sports Material |
50,000 |
Stock of Sports Material | 41,000 |
Working Notes:
(1)
| Dr. | Stock of Sports Material A/c | Cr. | |
| To balance b/d | 62,000 |
By Income & Expenditure A/c |
1,73,000 |
| (Bal. Fig.) | |||
| To Creditors for Sports material a/c | 1,52,000 | By balance c/d | 41,000 |
| 2,14,000 | 2,14,000 | ||
(2)
| Dr. | Creditors for Sports Material A/c | Cr. | |
| To Bank A/c | 1,80,000 | By balance b/d | 78,000 |
| (Payment to creditors) | By Stock of Sports Material A/c | 1,52,000 | |
| (Purchases made) (Bal. Fig.) | |||
| To balance c/d | 50,000 | ||
|
2,30,000 |
|
2,30,000 |
|
shaalaa.com
Is there an error in this question or solution?
