Question :
The Receipts and Payments Account of Social Club starts with a credit balance of Rs.5,000. This implies the club has:
Option 1:
The net assets of Rs.5,000 as opening balance
Option 2:
The capital fund of Rs.5,000
Option 3:
The balance of cash in hand of Rs.5,000
Option 4: Bank overdraft of Rs.5.000
Correct Answer: Bank overdraft of Rs.5.000
Solution : Credit balance of Receipts and Payments Account means bank overdraft. Hence, the correct option is 4.
A debit closing balance of Receipts and
Receipts and Payments Account does not include
An account akin to Profit and Loss Account in
A club received Entrance fees of Rs.22,000. The club capitalises 15% of the
Which of the following will appear on the asset
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile