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Question : Which one of the following is not a Capital receipt?

Option 1: Donation for specific purposes

Option 2: Endowment fund receipts

Option 3: Subscription

Option 4: Legacies


Team Careers360 17th Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: Subscription


Solution : Subscriptions are the main source of income for an NPO. This will yield benefits to the entity in current year and they are recurring in nature. Thus, Subscriptions are the revenue receipts.
Hence, the correct option is 3.

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