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Question : What amount will be credited to the income and expenditure account for the year ending 31 march 2022 on the basis of the following information:

Particulars 1-4-2021 31-3-2022
Advance Subscription Rs. 16000

Rs. 4000

 Subscriptions received during the year 2021-22 were Rs. 4,00,000.

Option 1: Rs. 4,20,000

Option 2: Rs. 3,80,000

Option 3: Rs. 3,88,000

Option 4: Rs. 4,12,000


Team Careers360 18th Jan, 2024
Answer (1)
Team Careers360 19th Jan, 2024

Correct Answer: Rs. 4,12,000


Solution :

Particulars Amount
Subscriptions received during the year Rs. 400000
Add: Advance subscription at the beginning of the year Rs. 16000
Less: Advance subscription at the end of the Year Rs. 4000
Subscriptions credited to Income and Expenditure A/c Rs. 412000

Hence, the correct option is 4.

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