Accountancy Part AAccounts for Non Profit Organsiation

A sports club sold used sports material like balls, net, bats etc. It…

A sports club sold used sports material like balls, net, bats etc. It is usually shown in :

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → Credit side of Income and Expenditure Account

Selling used sports material (old balls, bats, nets) is a regular feature of a sports club, so the money is a revenue income and is shown on the income (credit) side of the Income and Expenditure Account.

Option (1) Credit side of Receipt and Payment Account — Incorrect. Receipts are recorded on the debit side of the Receipts and Payments Account, and the question asks where the item is shown as income.

Option (2) Debit side of Income and Expenditure Account — Incorrect. The debit side records expenses and losses.

Option (3) It is not taken into consideration as it is scrap — Incorrect. Every receipt of the club is recorded; scrap sales are income.

Note: This question is from the pre-rationalised NCERT book. The topic is not there in the latest NCERT book (2026-27), but it is still in the CUET 2026 syllabus, so do not skip it.

NCERT (Pre-rationalised edition):
Sale of Sports Materials – “… Sale of sports materials (used materials like old balls, bats, nets, etc) is the regular feature with any Sports Club. It is usually shown as an income in the Income and Expenditure Account.”