Practicing Success
Read the following information and answer the question. ABC Welfare Society is working on the construction of building (sports complex for indoor games). It has provided the following information on 1st April, 2020. |
What amount of building fund is transferred to the capital fund at the end of the year? |
₹7,00,000 ₹12,00,000 ₹15,00,000 Nil |
₹12,00,000 |
The correct answer is option 2- ₹12,00,000. Building fund = ₹7,00,000 Expenditure incurred is ₹15,00,000 and building is completed so the whole balance of ₹12,00,000 will be transferred to capital fund and building fund become nil. |