During the Year 2004, the income from subscription was Rs. 4,500, subscription received in advance Rs. 360. On 31st December 2004, the outstanding subscription was Rs. 140. The amount of subscription to be shown in Receipts and Payments a/c for the year 2004 would be
A. Rs. 4,500
B. Rs. 5,000
C. Rs. 4,000
D. None of the above
Answer: Option D
This Question Belongs to Commerce >> Accounting
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4500-360+140=4280
Answer is 4280
Correct answer is 4500 because in receipt and payment account there is no difference either related to current year or not
4500+360-140=4720
correct answer is 4000.
The amount of subscription to be shown in Receipts and Payments a/c for the year 2004 would be 4500-360-140=4000