Read the following information and answer the question.

VIJAYA SHANKAR, an Ex-Indian cricketer decided to start a cricket academy to train the young enthusiastic players of down south. With the support and guidance of his family he started the Star cricket academy at Tirunelveli township area on 1st April 2020.

Land was donated by his grandfather worth ₹10,00,000 as per his will. His father Shankar donated ₹5,00,000 for the construction and running the academy. He spent ₹3,00,000 for construction of the pavilion. 200 players of Tirunelveli joined the academy and they paid yearly subscription of ₹1,200 each. 10 players paid in advance for the next year 2021 -22. Vijayashankar appointed well experienced coach for them, the coach fee amounted to ₹1,20,000 p.a.

The maintenance expenses amounted to ₹75,000. Bats and balls purchased during the year amounted to ₹15,000. Closing stock of bats and ball amount to ₹1,000.

The liability towards advance subscription amounted to:

₹12,000

The correct answer is option 1- ₹12,000.

10 players paid in advance for the next year 2021 -22. This is related to the next year so it is a liability of the organisation in the current year.

Member paid in advance = 10
Subscription per member = 1,200
Total advance subscription = 1,200 x 10
                                           = 12,000