Following Receipt and Payment Account was prepared from the cash book of Delhi Charitable Trust [SOLVE]

Following Receipt and Payment Account was prepared from the cash book of Delhi Charitable Trust for the year ending December 31, 2017

Receipt and Payment Account
for the year ending December 31, 2017
ReceiptsAmount (Rs.)PaymentsAmount (Rs.)
Balance b/d Charity11,500
  Cash in Hand11,500Rent and taxes3,200
  Cash at Bank12,600Salary6,000
Donation9,000Printing600
Subscription42,800Postage300
Legacies18,000Advertisements4,500
Interest on investment4,500Insurances2,000
Sale of old newspapers200Furniture21,600
  Investment23,000
  Balance c/d: 
    Cash in Hand9,900
    Cash at Bank16,000
 98,600 98,600

Prepare Income and expenditure account for the year ended December 31, 2017, and a balance sheet as on that date after the following adjustments:

(a)It was decided to treat one-third of the amount received on account of donation as income.
(b)Insurance premium was paid in advance for three months.
(c)Interest on investment Rs1,100 accrued was not received.
(d)Rent Rs600: salary Rs900 and advertisement expenses Rs 1,000 outstanding as on December 31, 2007.




Books of Delhi Charitable Trust
Income and Expenditure Account
as on Dec 31,2017
ExpenditureAmount (Rs.)IncomeAmount (Rs.)
Insurance2,000Subscription42,800
  Less:Prepaid [2,000X(3/15)](400)1,600Donation[9,000 x (1/3)]3,000
Charity11,500Interest on Investment4,500
Rent and Taxes3,200  Add:Accrued interest1,1005,600
  Add:Outstanding6003,800Subscription42,800
Salary6,000Sale of old news paper200
  Add:Outstanding9006,900
Printing600
Postage300
Advertisements4,500
  Add:Outstanding1,0005,500
Surplus (Balancing figure)21,400
51,60051,600
Balance Sheet
as on Dec 31,16
LiabilitiesAmount
(Rs.)
AssetsAmount
(Rs.)
Capital Fund (balancing figure)24,100Cash in hand11,500
Cash at Bank12,600
24,10024,100
Balance Sheet
as on Dec 31,2017
LiabilitiesAmount (Rs.)AssetsAmount (Rs.)
Capital fund24,100Prepaid Insurance400
  Add:Donation [9,000x(2/3)]6,000Investment23,000
  Add: Legacies18,000  Add: Accrued Interest1,10024,100
  Add: Surplus21,40069,500Furniture21,600
Outstanding Rent600Cash in hand9,900
Outstanding Salary900Cash at Bank16,000
Outstanding Advertisement Expenses1,000
72,00072,000




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