Income and Expenditure problem solution 2018 Professional Ethics LLB Burdwan University

Golden Rule: 

Only revenue transactions of the mentioned year are shown in income and expenditure account i.e. transactions of Capital nature are not shown in Income and Expenditure account.

Question:

From the following Receipts and Payments Account of a Lawyer for the year ended 31.03.2018, prepare an Income and Expenditure Account

Receipts	Rs.	Payments	Rs.
To Balance b/d To Fees for appearing at the court To Fees for legal advice To Fees for drafting legal documents To Examiner’s fees To Interest on investment in Government Securities To sale of old journals	30,000 2,30,000 80,000 25,000 4,000 50,000 1,000	By Rent of Chamber By Subscription for journals By Salary to Staff By Electricity charges By Furniture purchased for chamber By Telephone bill By Office expenses By Car expenses By Bar Association Subscriptions By Balance c/d	36,000 8,000 48,500 18,000 12,500 6,000 24,500 36,000 1,000 2,29,500
	4,20,000		4,20,000

2018 problem solution 

Dr.                                                                                                                                                                       Cr.
Expenditure	Amount	Income	Amount
To Rent of Chamber To Subscription for journals To Salary to Staff To Electricity charges To Telephone bill To Office Expenses To Car Expenses To Bar association subscription Surplus(Excess of Income over expenditure)	36,000 8,000 48,500 18,000 6,000 24,500 36,000 1,000 2,11,000	By Fees for appearing at the court By Fees for legal advice By Fees for drafting legal  documents By Examiners fees By interest on Investment on Govt. securities	2,30,000 80,000 25,000 4,000 50,000
	3,89,000		3,89,000