An Organisation shows ₹90,000 Balance of a fund in its Income and Expenditure A/c which was 60% of total fund received during the year whereas 40% was capitalised. How much amount was shown in Receipt and Payment A/c?

₹1,50,000

The correct answer is option 4- ₹1,50,000.

90,000 fund is 60% of total fund
Total fund = 100%
Total fund = 90,000/60 x 100
                = 1,50,000

40% of fund = 1,50,000 x 40/100
                   = 60,000 (shown on liability side)

Total fund of ₹1,50,000 is shown on the receipts side of receipts and payments account.