Question :
Not-for-profit organisation prepare Receipts and Payments Account because:
Option 1:
It is a summary of cash receipts and payments
Option 2:
It helps in the preparation of Income and Expenditure A/c and Balance Sheet
Option 3:
It is to be submitted to the Registrar of societies along with Income and Expenditure A/c and Balance Sheet
Option 4: All of these
Correct Answer: All of these
Solution : Not-for-profit organisation prepare Receipts and Payments Account because: 1. It is a summary of cash receipts and payments, 2. It helps in the preparation of Income and Expenditure A/c and Balance Sheet, and 3. It is to be submitted to the Registrar of societies along with Income and Expenditure A/c and Balance Sheet. Hence, the correct option is 4.
Receipts and Payments Account does not include
An account akin to Profit and Loss Account in
Receipts and Payments Account shows receipts
General donations are treated as:
A debit closing balance of Receipts and
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