Identify the steps in preparation of final accounts of not for profit organisation (NPO)A. Prepare Balance Sheet of NPOB. Prepare Income and Expenditure Account from Receipts and payment AccountC. Prepare Receipts and payment AccountD. Adjust outstanding/prepaid expenditure/Income and determine surplus/ DeficitE. Prepare cash bookChoose the correct answer from the options given below:
- AE, C, B, D, A
- BD, E, A, B, D
- CA, B, C, D, E
- DE, C, A, B, D
Solution & Step-by-step Explanation
Sequence:Prepare cash book (E)Prepare Receipts and payment Account (C)Prepare Income and Expenditure Account (B)Adjust outstanding/prepaid and determine surplus/deficit (D)Prepare Balance Sheet (A)