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NPO Basic Understanding

Total questions: 20

Worksheet time: 20mins

Name
Class
Date
1.

Income and Expenditure A/C is prepared in order to ascertain

a)

Profit or Loss

b)

Surplus or Deficit

c)

Cash in hand & at Bank

d)

Assets & Liabilities

2.

The Receipts & Payments account is a

a)

Real account

b)

Nominal Account

c)

Personal Account

d)

Impersonal Account

3.

The Receipts and Payments account contains

a)

Capital Receipts and Payments only

b)

Revenue Receipts Payments only

c)

Petty Receipts and Payments only

d)

All receipts and Payments

4.

Statement for the calculation of revenue of non-profit concern is known as

a)

Profit an Loss Account

b)

Income and Expenditure Account

c)

Receipts and Payment Account

d)

Balance Sheet

5.

Income and Expenditure A/C is an ................ Account

a)

Nominal

b)

Real

c)

Personal

d)

None of the above

6.

Income and Expenditure Account records transactions of .......................nature

a)

Revenue

b)

Capital

c)

Both Revenue and Capital

d)

None of these

7.

Receipts and Payments Account contains ............items

a)

Revenue

b)

Capital

c)

Both revenue and capital

d)

None of these

8.

Subscription received in advance is.............

a)

Expense

b)

Asset

c)

Income

d)

Liability

9.

The amount received by a non trading concern as per the will of a deceased person is known as........

a)

Donation

b)

Grants

c)

Subscription

d)

Legacy

10.

Receipt and Payment Account generally shows:

a)

A Debit balance

b)

Surplus or Deficit

c)

A Credit Balance

d)

Capital fund

11.

Donation received for a special purpose

a)

Should Be credited to Income and Expenditure Account

b)

Should be credited to separate account and shown in the Balance Sheet

c)

Should be shown on the assets side

d)

Should not be recorded at all.

12.

The amount of ‘Entrance Fees’ received by a Non-profit organisation is shown in which of the following?

a)

Liability side of Balance Sheet

b)

Assets side of Balance Sheet

c)

Debit side of Income and Expenditure Account

d)

Credit side of Income and Expenditure Account

13.

Subscription received by a school for organising annual function is treated as

a)

Capital Receipt (i.e., Liability)

b)

Revenue Receipt (i.e., Income)

c)

Asset

d)

None of there

14.

The amount received for sale of sports material by a Non -profit organisation is shown in which of the following

a)

Debit side of income and expenditure account

b)

Liability side of Balance Sheet

c)

Credit side of income and expenditure account

d)

Asset side of Balance sheet

15.

Closing Balance of income and expenditure account is transferred to (a)   fund.

16.

Non-cash items are not recorded in:

a)

Balance Sheet

b)

Profit and Loss A/c

c)

Income and Expenditure A/c

d)

Receipt and Payment A/c

17.

There is no difference between Receipts and Payment Account and Income and Expenditure Account.

a)

True

b)

False

18.

In the Income and Expenditure Account, all incomes received during the year irrespective of the year for which they are received, are to be recorded.

a)

True

b)

False

19.

If income is ₹ 16000 and deficit debited to capital fund is ₹ 4300, the expenditure is:

a)

₹ 16000

b)

₹ 4300

c)

₹ 20300

d)

₹ 11700

20.

Capital of NPO is generally known as:

a)

Equity

b)

Accumulated fund

c)

Capital fund

d)

Financial reserve