Match List-I with List-II. List-I List-II (A) Subscription (I) Revenu…

Match List-I with List-II.

List-I	List-II
(A) Subscription	(I) Revenue income for the year in which it is received
(B) Endowment Fund	(II) Amount received as per the will of the deceased person
(C) Cash subsidy received from the government	(III) Main source of income of Not for Profit organisations
(D) Legacies	(IV) Fund arising from a bequest or gift

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → (A)-(III), (B)-(IV), (C)-(I), (D)-(II)

These are items peculiar to Not-for-Profit organisations:

(A) Subscription — this matches (III) Main source of income of Not for Profit organisations. It is the annual membership fee paid by members.

(B) Endowment Fund — this matches (IV) Fund arising from a bequest or gift. Its income is used for a specific purpose, and it is a capital receipt.

(C) Cash subsidy received from the government — this matches (I) Revenue income for the year in which it is received. It is credited to the Income and Expenditure Account of that year.

(D) Legacies — this matches (II) Amount received as per the will of the deceased person.

Note: This question is from the pre-rationalised NCERT book. The topic is not there in the latest NCERT book (2026-27), and it is also out of the CUET 2026 syllabus.

NCERT (Pre-rationalised edition):
Subscriptions – “Subscription is a membership fee paid by the member on annual basis. This is the main source of income of such orgnisations.”

NCERT (Pre-rationalised edition):
Endowment Fund – “It is a fund arising from a bequest or gift, the income of which is devoted for a specific purpose.”

NCERT (Pre-rationalised edition):
Government Grant – “Schools, colleges, public hospitals, etc. depend upon government grant for their activities. The recurring grants in the form of maintenance grant is treated as revenue receipt (i.e. income of the current year) and credited to Income and Expenditure account. However, grants such as building grant are treated as capital receipt and transferred to the building fund account. It may be noted that some Not-for-Profit organisations receive cash subsidy from the government or government agencies. This subsidy is also treated as revenue income for the year in which it is received.”

NCERT (Pre-rationalised edition):
Legacies – “It is the amount received as per the will of a deceased person who may or may not specify the use of the amount.”

Match List-I with List-II.

List-I	List-II
(A) Subscription	(I) Revenue income for the year in which it is received
(B) Endowment Fund	(II) Amount received as per the will of the deceased person
(C) Cash subsidy received from the government	(III) Main source of income of Not for Profit organisations
(D) Legacies	(IV) Fund arising from a bequest or gift