As per Receipts and Payments Account for the year ended on March 31,2020,subscriptions received were ₹2,50,000, subscription outstanding on 1-04-2019 ₹50,000, subscription received in advance as on 31-3-2020 are ₹30,000.
Subscriptions for the year 2019-2020 will be:
Answer & explanation
Correct answer: option 4
The correct answer is option 4- ₹1,70,000.
Subscription received during the year 2019-2020 = ₹2,50,000
Less: Subscription outstanding on 1-04-2019 = ₹50,000
Less: Subscription received in advance as on 31-03-2020 = ₹30,000
Subscription for the year 2019-2020 = (2,50,000 - 50,000 -30,000)
= ₹1,70,000