ACCOUNTING FOR CLUBS AND SOCIETIES

Illustration 1-
Subscription account
Subscription in arrears b/d ####
(not collected during the previous year)
Subscription received in advance b/d ####
(collected during previous year)
Subscription received during current year ####
(from Income and Expenditure account)
Total cash received as subscription ####
during the current year
Subscription in advance c/d ####
(collected for subsequent year)
Subscription in arrears c/d ####
(not yet collected for current year)
#### ####
Subscription in arrears b/d #### Subscription in advance b/d ####
(i) r Subscription accounts !"#$$$
%r I/E accounts !"#$$$
(ii) r %ash "#$$$
%r Subscription accounts "#$$$
The Legacy Bowling Club (LBC) charges its members an annual subscription of RM30
per member. t accrues for subscriptions owing at the en! of each year an! also a!"usts
for subscriptions recei#e! in a!#ance. The following transactions are !isco#ere! at the
en! of the year$
i) %n & 'anuary (0&&) &* members owe! RM+*0 for the year (0&0.
ii) %n 3& ,ecember (0&0) - members pai! RM&.0 for the year (0&&.
iii) ,uring the year (0&&) LBC recei#e! cash for subscriptions RM&&)&30.
RM
(0&0 *+0
(0&& &0)3.0
(0&( (&0
&&)&30
i#) /t the en! of 3& ,ecember (0&&) &0 members ha! not pai! their (0&& subscriptions.
1ou are re2uire! to prepare the subscriptions account for the year en!e! 3& ,ecember
(0&& of the Legacy Bowling Club.
Subscriptions Account
Debit Credit
Date RM Date RM
1 Jan
2011
Beginning bal
(Acc Rev)
40 1 Jan
2011
Beginning bal!
("nearned )
1#0
$1
Dec
2011
%nco&e and
'(penditure
11)1*0 $1
Dec
2011
Cas+ 11)1$0
$1
Dec
2011
'nding bal
("nearned )
210 $1
Dec
2011
'nding bal
(Accrued Rev)
10
11)#20 11#20
Illustration 2 (refer a!e "1# of Fun$a%entals of Finan&ial A&&ountin!'
E(er&ises
)uestion 1
The follo&ing information is extracted from the accounting boo' of Sentosa %lub(
1 *anuar+ 2,," "1 De&e%-er 2,,"
R. R.
Subscription in arrears !)$ !*$
Subscription in advance +$ !!"
In *$$,# Sentosa %lub has !$$ members- Each member has to pay an annual subscription fee
./"$-
.equired(
!- 0repare a Subscription 1ccounts-
*- Extract of the Income and Expenditure 1ccount for the year ended ,! ecember *$$,
,- Extract of the 2alance Sheet as at ,! ecember *$$,
)uestion 2
The follo&ing information is extracted from the accounting boo' of 2adminton %lub for the year
ended ,! ecember *$$,-
3pening/closing stoc' ./,$$/./4,$
0urchases ./!#5$$
Sales ./*#"$$
.equired(
0repare a Trading account for the year ended ,! ecember *$$,-