Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Accounts for Non Profit Organsiation

Question:

It is the amount paid to the person who is not the regular employee of the institution.

Options:

Wages

Honorarium

Salary

Donation

Correct Answer:

Honorarium

Explanation:

Payments of Honorarium: It is the amount paid to the person who is not the regular employee of the institution. Payment to an artist for giving performance at the club is an example of honorarium. This payment of honorarium is shown on the expenditure side of the Income and Expenditure Account.