Archive about 'Non-Trading Concerns'
Answer To Accounting Test Question NT No. 1 On Non-Trading Organizations
Answer to Accounting Test Question NT No.1:
ABC Sports Club
(a) Subscriptions Account
2005
$
2005
$
Jun 1
Balance b/d
1,230
Jun 1
Balance b/d
100
Income & Expenditure a/c
69,826
Receipts a/c
70,066
2006
2006
May 31
Balance c/d
450
May 31
Balance c/d
1,340
71,506
71,506
(b) [...]
Accounting Test Question NT No. 1 On Non-Trading Organization
Accounting Test Question NT No 1:
Question:
ABC Sport Club produced the following information relating to the Club’s financial year ended 31 May 2006
Receipts and Payments Account for the year ended 31 May 2006
$
$
Balance at bank at 1 Jun 2005
1,076
Groundsmen’s wages
18,500
Sales of refresments
7,160
Purchase of refreshments
3.110
Subscriptions
70,066
Wages of refreshment staff
3,700
Social events- receipts
19,240
Repairs & [...]
Non-Trading Concerns – Its Financial Statements ( Part 3)
This article explained what’s are the financial statements of a non-trading concern:
What are the Financial Statement of A Non-Trading Concern:
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They are the following:
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· Receipts and Payments Account;
· Income and Expenditure Account ( also includes the Trading account if it runs restaurant or bar)
· A Balance Sheet if it has other assets beside Cash
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Tabulated below the [...]
Accounting For Non-Trading Concerns ( Part 2)
This article explained what’s normally is the sources and expenditure of a non-trading concern.
Sources of Income In a Non-Trading Concern
Revenue in nature:
· Entrance fees;
· Subscriptions;
· Interest from investment;
· Visitors fees;
· Lockers fees;
· Gross trading profit from bar or restaurant;
· Refreshment receipts;
· Donations;
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Capital in nature
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· Legacies;
· Donations ( if stated for capital purpose like building a swimming pool)
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Salient point:
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·     Only the revenue income [...]
Accounting For Non-Trading Concerns ( Part 1)
Unlike a normal trading concern, non trading concerns like clubs, societies and association are incorporated without the motive of making profits.
Their main objective is to promote amongst its members recreational interest.
However, some clubs and societies which run bars or restaurant for the convenient of the member on a permanent basis with the intention of profit [...]


