Lesson 8

Question 1

What is a non profit organization

Answer 1

Is a trust company
Or any other associations established for a public purpose
The income to Chico is not distributed to members

Question 2

Hats the calculation income for subscription

Answer 2

1. Subscription received ina year
2. Add : subscription prepaid at start of year
3. Less: subscription owing at start of year
4. Less: subscription paid in advance at end of year
5. Add: subscriptions due but unpaid at end of year
6. Equals: subscription income for year (transferred to income and expenditure statement)