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WorksheetsChapter 18 Accounts of clubs and societies
Total questions: 20
Worksheet time: 10mins
Income and expenditure account is prepared in order to ascertain
Profit or loss
Surplus or deficit
Cash in hand & at bank
Assets & liabilities
The Receipts and payments account contains
Capital receipts and payments only
Revenue receipts and payments only
Petty receipts and payments only
All receipts and payments
Receipts and Payments Account contains ............items
Revenue
Capital
Both revenue and capital
None of these
Main source of income for non-profit organisation is
Rent
Salaries
Donations and subscriptions
Sale of assets
Which of the following should not be recorded in the income and expenditure account?
Sale of old newspapers
Loss on sale of assets
Honorarium paid to the secretary
Sale proceeds of furniture
Donations received for a specific purpose is
Revenue receipt
Capital receipt
Revenue expenditure
Capital expenditure
The financial year of a drama club ends on 31 December. The club rents a theater at an annual rent of $3600. On 1 January 2001 rent accrued amounted to $300. During 2001 a total of $4500 rent was paid.
How much will be shown for rent in the club’s receipts and payments account for the year ended 31 December 2001?
$3 600
$3 900
$4 200
$4 500
A cricket club has 60 members and an annual subscription is $10. Subscriptions received during the year were $580, which included opening arrears of $20.
What was the balance on the subscriptions account at the end of the year?
$20 debit
$30 debit
$40 credit
$40 debit
When the final accounts for a tennis club are being prepared it is found that some members’ subscriptions have been received for the following year.
Where will these subscriptions appear in the statement of financial position?
current asset
current liability
added to the accumulated fund
deducted from accumulated fund
Which will appear in a receipts and payments account?
depreciation of fixed assets
opening bank balance
refreshment stocks
subscriptions outstanding at year end.
A club's subscriptions account for 2005 shows the following:
owing at start of the year $300
received during the year $4000
owing at end of the year. $700
What amount will appear in the income and expenditure account for 2005?
$3 000
$3 600
$4 300
$4 400
What is the purpose of a receipts and payments account?
to calculate net profit for the period
to calculate profit from revenue-generated activities
to show the cash transactions for the period
to show the surplus on income over expenditure
A sports club’s receipts and payments account for the year ended 30 April 2007 included the following.
subscriptions received:
for the year ended 30 April 2007 $6 000
for the year ending 30 April 2008. $400
On 30 April 2007 subscriptions due but unpaid were $200.
What will be the amount shown for subscriptions in the club’s income and expenditure account for the year ended 30 April 2007?
$5 600
$5 800
$6 000
$6 200
A sports club was formed on 1 January 2009. During the year ended 31 December 2009 the club purchased equipment costing $5000, paying by cheque.
In which of the club’s final accounts did this appear?
statement of financial position only
receipts and payments account and income and expenditure account
receipts and payments account and statement of financial position
income and expenditure account and statement of financial position
If a club operates a bar at a profit, this profit should be accounted for in the club's income and expenditure account by . . .
including sales and expenses relating to the bar separately.
including it in the income section of the account.
including receipts and payments relating to the bar separately.
including any surplus of receipts over payments in the account.
A club's accumulated fund is . . .
the amount (if any) by which its assets exceed its liabilities.
the amount of its liabilities.
the aggregate depreciation on its fixed assets.
the same as its bank balance.
A club which has fifty members charges an annual membership subscription of $20. At the beginning of the year, five members had paid their subscription in advance and four were in arrears with their subscriptions. At the end of the year, three members were in arrears with their subscription and two members had paid the following year's subscription. The club's subscription income for the year was:
$960
$1 000
$1 020
$1 040
If some members of a club have not paid their annual subscription by the end of the club's financial year and the club decides not to include the subscriptions due as revenue for the year, the club is applying . . .
the consistency concept.
the going concern concept.
the prudence concept.
the entity concept.
The following is the subscriptions account of a club.
Which statement is correct?
Subscriptions in advance at 1 January 2018 were $50.
Subscriptions in arrears at 1 January 2017 were $80.
Subscription income for the year was $3060.
Subscriptions received during the year were $3000.
Some members of a sports club had not paid their annual subscriptions at the end of the financial year.
Where will these unpaid subscriptions be shown in the financial statements?
receipts and payments account : ✓
income and expenditure account : ✓
statement of financial position : ✓
receipts and payments account : ✓
income and expenditure account : -
statement of financial position : ✓
receipts and payments account : ✓
income and expenditure account : ✓
statement of financial position : -
receipts and payments account : -
income and expenditure account : ✓
statement of financial position : ✓
