Financial Statements of Not-for-Profit Organizations 0 Financial Statements of Not-for-Profit Organizations 1 / 30 Q.30 Life membership fees are added to capital fund. TRUE FALSE 2 / 30 Q.29 Any donation received for a specific purpose is a revenue receipt. TRUE FALSE 3 / 30 Q.28 Income & expenditure account resembles the ________ A/c of a trading concern. Trading P & L A/c Cash Bank 4 / 30 Q.27 ________ Accounts starts with the opening cash balance. I & E A/c R & P A/c Capital fund Subscription 5 / 30 Q.26 Subscription received in advance during the accounting year is ______. an income an expense an asset a liability 6 / 30 Q.25 Credit side of R & P A/c shows cash _________. payments receipts expenses other transaction 7 / 30 Q.24 General donations and annual legacies are credited to Receipts and Payments Account. Income and Expenditure Account. Capital Fund. Fund Account. 8 / 30 Q.23 Accrued subscriptions for the current year are subtracted from subscription. TRUE FALSE 9 / 30 Q.22 Entrance fees to a sports club are to be shown as payment. TRUE FALSE 10 / 30 Q.21 Incomes and Expenditures account is a real account but not a nominal account. TRUE FALSE 11 / 30 Q.20 The closing balance of R & P A/c usually represents _________. closing cash closing bank closing bank closing of R and P 12 / 30 Q.19 Bank overdraft indicates _________ balance. Debit Credit Profit Loss 13 / 30 Q.18 The Receipts and Payment A/c records only cash transactions. TRUE FALSE 14 / 30 Q.17 Every 'Not For Profit' concern prepares an Income and Expenditure A/c. TRUE FALSE 15 / 30 Q.16 Service organisation undertakes activities to earn profit. TRUE FALSE 16 / 30 Q.15 Charitable institution prepares Profit and Loss A/c. TRUE FALSE 17 / 30 Q.14 Non profit organisation is managed and run by its members to provide social service. TRUE FALSE 18 / 30 Q.13 A public library is a 'Not for profit' concern. TRUE FALSE 19 / 30 Q.12 A 'Not for profit' organisation never trading activities. TRUE FALSE 20 / 30 Q.11 Sale of old materials must beshown in credit side Cash book I & E A/c Balance sheet R & P A/c 21 / 30 Q.10 Debit side of R & P A/c shows cash _________. payments receipts expenses other transaction 22 / 30 Q.9 Special fund/donations should be ____________ and therefore added to ___________. Revenue receipt Capital receipt Capital expenditure Revenue exp. 23 / 30 Q.8 Service organisation prepares _______ at the end of the year to find out financial position. Balance sheet Income statement trading A/c P & L A/c 24 / 30 Q.7 Life membership fees is capital in receipts and therefore added to ________. Loan fund Capital fund Endowment fund None of the above 25 / 30 Q.6 Service organisation prepares _______ A/c to find out excess of income over expenditure. P & L A/c I & E A/c trading R & P A/c 26 / 30 Q.5 Not-profit organisation is also called _________ organisation. Service trading commercial profit making 27 / 30 Q.4 Special grants received are treated as revenue in nature. TRUE FALSE 28 / 30 Q.3 Any Income arising from special fund will be credited to Special fund in the balance sheet I & E A/c General fund in the balance sheet R & P A/c 29 / 30 Q.2 Special donations are shown in the balance sheet on ______ side. Asset Liability Left Right 30 / 30 Q.1 Income & Expenditure Account includes items of ______ nature only. Capital Revenue Fixed Non-recurring Your score is LinkedIn Facebook Twitter VKontakte