Accounting for Clubs and Non-Profits

What account is the Accumulated Fund similar to?

• Capital

• Subscriptions

• Accumulated Depreciation

• Expenditure

A club received $3,500 in cash from subscriptions. At the time it had been owed $300 from the previous year, $490 was owed at the end of the current year and $520 in subscriptions was paid in advance from last year. This year's subscriptions total was:

• $2,790

• $3,500

• $3,170

• $4,210

Expenses prepaid during the year are:

• Subtracted from the expense next year as it is already paid during the current year

• Subtracted from the cash paid this year towards the expense but added in next year's expense

• Included as a Current Asset and added to cash paid to this year's expense

• Disregarded from all of the current year's financial statements since it is an advance payment

Which of the following is not a line item in the Trading account for a Club selling juices to raise funds?

• Opening Stock of juices

• Sales from juices

• Creditors from purchases of juices

• Wages of staff selling juices

A club of 15 individuals takes annual subscriptions of $100 per year. At the end of the year 4 members had partially paid and 6 had paid their share and made an advance payment for next year. The subscription figure should be recorded as:

• Undeterminable

• $1,500

• The cash collected only

• $2,100

If Cash Sales are $1,200, Opening Debtors are $400, Closing Debtors are $290 and Cash from Debtors is $3,600 then the total Sales figure is:

• $4,800

• $4,690

• $3,710

• $5,490

All of the following would likely be found in the accounts of a club or non-profit except:

• Drawings

• Sales of some form

• Current Liabilities

• Depreciation

Accrued/Unpaid rent - $2,000

Subscriptions in advance - $1,300

The list above will aid in determining:

• 2 expenditure items and 2 current liabilities

• 1 expenditure item, 1 income item, 1 current liability and 1 current asset

• 1 expenditure item, 1 income item and 2 current liabilities

• 2 income items and 2 current assets

If there is a purchase of equipment for $7,000 on the payment side of the Receipts and Payments account which of the following is NOT true?

• An expenditure must be recorded

• There was an increase in equipment

• $7,000 is the literal cash or bank spent on the equipment

• There could be a creditor if the equipment costed more than $7,000

In order to determine the ending cash/bank figure we can:

• Add opening cash/bank to all receipts and subtract all payments

• Add opening cash/bank to subscriptions and subtract fixed asset purchases only

• Find the difference between the receipts and payments

• Subtract opening assets from opening liabilities