From the following information calculate Income from Subscription for the year ending on 31 March 2022.
Details ₹
Subscription received 2,50,000
Additional Information:
Subscription outstanding on 1.4.2021 50,000
Subscription outstanding on 31.3.2022 35,000
Advance subscription as on 1.4.2021 25,000
Advance subscription as on 31.3.2022 30,000
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) - ₹ 2,30,000.
Subscription received = 2,50,000
Add: O/S subscription at the end of year = 35,000
Less: O/S subscription at the beginning of year = 50,000
= (2,50,000 + 35,000 - 50,000)
= ₹2,35,000
Add: advance subscription at the beginning = 25,000
Less: advance subscription at the end = 30,000
= (2,35,000 + 25,000 - 30,000)
= ₹2,30,000