1
The Milham Theatre Club has been in existence for a number of years. Members pay an
annual subscription of £15 which entitles them to join trips to professional productions at a
reduced rate.
On 1 February 2007 the Club’s assets and liabilities were as follows:
Cash in hand £80, Bank balance (overdrawn) £180, Subscriptions in arrears £150, Savings account
£1,950, Amount owing for coach hire £60.
Required:
A
detailed
calculation of the Milham Theatre Club’s accumulated fund at 1 February 2007.
l On 31 January 2008 the club committee decided to write off any arrears of subscriptions for the
year ended 31 January 2007; the membership secretary reported that £75 is due for subscriptions
for the year ended 31 January 2008.
l The treasurer has calculated that the full amount of interest receivable on the savings account
for the year ended 31 January 2008 is £155.
l The club committee has decided that the gift should be capitalised.
Required:
(b) An account showing the surplus or deficit made by the Milham Theatre Club on theatre trips.
(c) An income and expenditure account for the Milham Theatre Club for the year ending
31 January 2008.
(d) An extract from the Milham Theatre Club’s balance sheet as at 31 January 2008, showing the
accumulated fund and current liability sections only.
The club committee have been concerned by the fact that the club’s income has been steadily
declining over recent years.
Required:
(e) Advice for the committee on
four
ways in which they could improve the club’s income.
(Southern Examining Group: GCSE)