Question
(b) The accountant of Mamba Sports Club has extracted the following information from the books of account for the year ended 31 March 2001: Receipts
(b) The accountant of Mamba Sports Club has extracted the following information from the books of account for the year ended 31 March 2001:
Receipts | Sh. | Payments | Sh. |
Balance brought forward Subscriptions: Year 1999/2000 2000/2001 2001/2002 Dinner dance Beverage sales Investments income | 288,000
249,000 2,050,000 194,000 723,000 657,000 400,000
________ 4,561,000 | Salaries and wages New equipment Repairs and maintenance Office expenses Printing and stationery Purchase of beverages Dinner dance expenses Refund of subscriptions Sports prizes Transport Investments Balance carried forward | 254,000 565,000 124,000 415,000 168,000 497,000 315,000 45,000 25,000 248,000 1,500,000 405,000 4,561,000 |
Balances as at | 31 March 2000 Sh. | 31 March 2001 Sh. |
Furniture and fittings (net) Equipment (net) Investments at cost Subscriptions in arrears Salaries accrued Stock of beverages Subscriptions in advance | 240,000 690,000 3,500,000 300,000 68,000 162,000 85,000 | - - - 375,000 72,000 184,000 - |
Additional information
- Subscriptions in arrears are written-off after twelve months.
- Depreciation is provided for on reducing balance method at 10% and 20% per annum on furniture and fittings and equipment respectively.
- Investments which had cost Sh.500,000 were sold on 30 March 2001 for Sh.625,000. No entries have been made in the books in this respect.
Required:
(a) Income and expenditure account for the year ended 31 March 2001. ( 8 marks)
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