(a) From the following particulars of Poompuhar Literary Association, prepare Receipts and Payments account for the year ended 31st March, 2019. | Particulars | ₹ | Particulars | ₹ | | --- | --- | --- | --- | | Opening cash in hand as on 1.4.2018 | 5,000 | Subscription received | 20,000 | | Bank overdraft as on 1.4.2018 | 4,000 | Repairs and renewals | 2,500 | | Printing and Stationery | 1,500 | Conveyance paid | 2,750 | | Interest paid | 3,250 | Books purchased | 10,000 | | Sale of investments | 1,000 | Insurance premium paid | 4,000 | | Purchase of refreshments | 1,500 | Sundry receipts | 750 | | Outstanding Salary | 2,000 | Government grants received | 6,000 | | Endowment fund receipts | 2,000 | Sale of refreshments | 1,500 | | Lighting charges | 1,300 | Depreciation on buildings | 2,000 | | | | Cash at bank on 31.03.2019 | 2,000 | OR (b) State any 5 factors determining Goodwill and explain.

> > [!TLDR] > (a) Receipts & Payments A/c totals **₹36,250**; closing cash in hand (balancing figure) = **₹3,450** (bank ₹2,000 given). (b) Any five factors that determine goodwill, explained. > > ## (a) Receipts and Payments A/c — Poompuhar Literary Association (year ended 31.3.2019) > > Rules applied: it is a summary of the cash book, so record **only actual cash/bank receipts and payments**, capital and revenue alike. **Outstanding Salary ₹2,000** (not yet paid) and **Depreciation on buildings ₹2,000** (non-cash) are excluded. The opening bank overdraft ₹4,000 is a credit opening balance, so it appears on the payments side as *By Balance b/d*. > > | Receipts | ₹ | Payments | ₹ | > | --- | --- | --- | --- | > | To Balance b/d (Cash in hand) | 5,000 | By Balance b/d (Bank overdraft) | 4,000 | > | To Subscription received | 20,000 | By Printing and Stationery | 1,500 | > | To Sale of investments | 1,000 | By Interest paid | 3,250 | > | To Endowment fund receipts | 2,000 | By Purchase of refreshments | 1,500 | > | To Sundry receipts | 750 | By Lighting charges | 1,300 | > | To Government grants received | 6,000 | By Repairs and renewals | 2,500 | > | To Sale of refreshments | 1,500 | By Conveyance paid | 2,750 | > | | | By Books purchased | 10,000 | > | | | By Insurance premium paid | 4,000 | > | | | By Balance c/d — Cash at bank | 2,000 | > | | | By Balance c/d — Cash in hand (bal. fig.) | 3,450 | > | **Total** | **36,250** | **Total** | **36,250** | > > Closing cash in hand = 36,250 − (all payments 32,800) = **₹3,450**. > > ## (b) Five factors determining Goodwill > > 1. **Nature of the business** — a firm dealing in quality or necessary/high-demand products with a stable clientele earns more goodwill. …

(a) From the following particulars of Poompuhar Literary Association, prepare Receipts and Payments account fo

Question 36 of 48

(a) From the following particulars of Poompuhar Literary Association, prepare Receipts and Payments account for the year ended 31st March, 2019.

Particulars	₹	Particulars	₹
Opening cash in hand as on 1.4.2018	5,000	Subscription received	20,000
Bank overdraft as on 1.4.2018	4,000	Repairs and renewals	2,500
Printing and Stationery	1,500	Conveyance paid	2,750
Interest paid	3,250	Books purchased	10,000
Sale of investments	1,000	Insurance premium paid	4,000
Purchase of refreshments	1,500	Sundry receipts	750
Outstanding Salary	2,000	Government grants received	6,000
Endowment fund receipts	2,000	Sale of refreshments	1,500
Lighting charges	1,300	Depreciation on buildings	2,000
		Cash at bank on 31.03.2019	2,000

(b) State any 5 factors determining Goodwill and explain.

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(a) Receipts & Payments A/c totals ₹36,250; closing cash in hand (balancing figure) = ₹3,450 (bank ₹2,000 given). (b) Any five factors that determine goodwill, explained.

(a) Receipts and Payments A/c — Poompuhar Literary Association (year ended 31.3.2019)

Rules applied: it is a summary of the cash book, so record only actual cash/bank receipts and payments, capital and revenue alike. Outstanding Salary ₹2,000 (not yet paid) and Depreciation on buildings ₹2,000 (non-cash) are excluded. The opening bank overdraft ₹4,000 is a credit opening balance, so it appears on the payments side as By Balance b/d.

Receipts	₹	Payments	₹
To Balance b/d (Cash in hand)	5,000	By Balance b/d (Bank overdraft)	4,000
To Subscription received	20,000	By Printing and Stationery	1,500
To Sale of investments	1,000	By Interest paid	3,250
To Endowment fund receipts	2,000	By Purchase of refreshments	1,500
To Sundry receipts	750	By Lighting charges	1,300
To Government grants received	6,000	By Repairs and renewals	2,500
To Sale of refreshments	1,500	By Conveyance paid	2,750
		By Books purchased	10,000
		By Insurance premium paid	4,000
		By Balance c/d — Cash at bank	2,000
		By Balance c/d — Cash in hand (bal. fig.)	3,450
Total	36,250	Total	36,250

Closing cash in hand = 36,250 − (all payments 32,800) = ₹3,450.

(b) Five factors determining Goodwill

Nature of the business — a firm dealing in quality or necessary/high-demand products with a stable clientele earns more goodwill. …

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(a) Receipts and Payments A/c — Poompuhar Literary Association (year ended 31.3.2019)

(b) Five factors determining Goodwill

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