Balance sheet as on 31.12.2018

i. Receipts and payment account starts with Opening cash and Bank balances & ends with closing balances. These balances should be taken from opening and closing balance Sheet
ii. Receipts and payments account allows actual receipts and payments in cash whether these are revenue or capital.

Excess of assets over liabilities is called "Capital Fund" or "General Fund". It is similar to capital account at Commercial organisation. It is shown on the liabilities side of Balance sheet.

It refers to the amount paid to a person to reimburse the actual expenses incurred for delivering a lecture or giving his performance as an artist. It is a usually payment side of Receipts and Payment side & expenditure side of Income and expenditure Account.

It appears on the debit side of receipts and payments account. There is a lot of confusion over its treatment in accounts. It is not of recurring nature should not be treated as income.

It is a fund which provides permanent means of support for any person or institution. It provides a permanent means of support it is a receipt of capital nature. It is recorded on the debit side of receipts and payments account in the year of receipt.

Donation is the amount received from some person by way of gift. It appears on the debit side of the receipts and payments account in the year of receipt.

The following are the features of not-for-profit organisation
i. They are the organisations which function without any profit motive.
ii. Their main aim is to provide services to a specific group of the public at large..
iii. They do not undertake business or trading activities.

The difference between income and expenditure account and profit and loss account are

Income and expenditure account is prepared by a non-profit organization and is a summary of income and expenditure of the accounting year.
Income and expenditure account is akin to profit and loss account because of the following similarities
which are observed amongst these accounts.
(i) Both are nominal accounts.
(ii) Both are one prepared on accrual basis.
(iii) Both record revenue items related to current accounting year only.
(iv) In both the accounts, expenses and losses are recorded on the debit side and incomes and gains
are recorded on the credit side

It is so because receipts and payments account is prepared on cash basis of accounting

No, as the balance in receipt and payments account is closing cash and bank balance

(i) These are the amount received by not-for-profit organizations as a gift. It may be a general donation or specific donation.
(ii) General donation: If the donation is received without any specific condition, then it is a general donation. It is a revenue receipt.
(iii) Specific donation: If the donation received with a specific condition particular purpose like donations for sports fund, prize fund, etc., It is known as a specific donation. It is a capital receipt.

Following are the steps involved in the preparation of receipts and payments accounts:
(i) Record the opening balance of cash in hand and favourable bank balance on the debit side of receipts and payments account. If there is a bank overdraft, it must be recorded on the credit side
(ii) Actual cash receipts during the year are recorded on the debit side and actual cash payments during the year are recorded on the credit side.
(iii) While recording cash-receipts and payments, no distinction needs to be made between revenue and capital items.
(iv) If the total of the debit side is more than the credit side, the balancing figure will appear on the credit side. It represents the closing balance of cash or bank.
(v) If the total of the credit side is more than the debit side, the balancing figure will appear on the debit side. It represents bank overdraft.

Following are the features of not-for-profit organizations.
(i) Not-for-profit organizations are the organizations which function without any profit motive.
(ii) Their main aim is to provide service to a specific group or the public act large.
(iii) Generally, they do not undertake business or trading activities.
(iv) Their main sources of income include subscription from members, donations, grant-in-aid and legacies