Mr I. Seetane

ACCF111 CHAPTER 21 NON-PROFIT ORGANISATIONS Outcomes of this module Prep be the following: * returns and payments statement * tilt of comprehensive income * Statement of financial lay * Statement of changes in equity * Reconstruct the membership fess account The purpose of a non- winnings organisation is to provide process to the community. Although they are non-profit, they arse still trade and earn wampum which are called surpluses and deficits. Any surplus earned must be utilise for the benefit of the members. Non-profit organisations can range in come up and includes sports clubs, social clubs, churches, educational institutions, government bodies and professional societies. The finincial statements will live on depending on the size of the organisation. Most will use what is love as funds accounting procedures. As there are no owners and profit is not the motive, there is no ceiling account. This is instead replace d by the accumulated fund account. This fund is utilise for general running expenses and excludes special funds, which we will see shortly. ASSETS = LIABILITIES + gold Sources of funding entering fees this is a once-off payment that the members make to merge the organisation.

It can be considered to be profit or the entity can decide to take it to the hoard (General) ancestry and not deal out it as profit. Dr Bank Cr Entrance Fees (income) or Dr Entrance Fees Cr Accumulated computer storage Membership fees most clubs charge membership fees (subscriptions) to their members. The fee is sleepless based on the funding they require for the year. The same priniciple applies a! s in trading entities and any fees in arrears must be accounted for and shown as a current asset receivable. Any fees paid in advance must be reflected as a current liability being fees received in advance. It is laboured that these two accounts be transferred to the membership fee account at the beginning of...If you want to get a full essay, auberge it on our website: OrderEssay.net

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