Not-for-Profit

Accounting

Easy

The main source of revenue for 'not for profit' organisation is:

Sale of goods

Sale of periodicals

Subscription from members

Sale of assets

✅ Correct Option: 3

Not-for-profit organizations focus on missions, not profit. Main revenue sources include:

Option 1: Sale of goods → Usually not primary for non-profits.

Option 2: Sale of periodicals → Can be relevant but not main source.

Option 3: Subscription from members → Primary source for many non-profits.

Option 4: Sale of assets → Rarely a consistent revenue source.

Correct answer: Option 3.

2022: 30 Aug Shift 2

It is the amount-paid to the person who is not the regular employee of the institution.

2024

Libraries run by charitable trusts are an example of:

2022: 15 July Shift 2

Show the following information in financial statements of a Non-Profit Organisation

2022: 30 Aug Shift 2

Identify the steps in preparation of final accounts of not for profit organisation (NPO)

A. Prepare Balance Sheet of NPO

B. Prepare Income and Expenditure Account from Receipts and payment Account

C. Prepare Receipts and payment Account

D. Adjust outstanding/prepaid expenditure/Income and determine surplus/ Deficit

E. Prepare cash book

Choose the correct answer from the options given below:

2022: 15 July Shift 2

Identify the treatment of Government Grant received from the government from following:

2022: 20 Aug Shift 2

________ is the amount received as per the will of a deceased person.

Solution