Receipt and Payment Account of Modern Club, New Delhi

Receipts:
- Subscription received: $50,000
- Entrance fees received: $10,000
- Donation received: $5,000
- Sale of old furniture: $2,000
- Interest received on investments: $3,000
- Total Receipts: $70,000

Payments:
- Rent paid: $20,000
- Salaries paid to staff: $15,000
- Electricity bills paid: $5,000
- Purchase of new sports equipment: $10,000
- Repairs and maintenance: $3,000
- Total Payments: $53,000

Explanation:
- The Receipt and Payment Account is a summary of cash transactions for a particular period.
- Receipts include all the money received by the club during the year, such as subscriptions, entrance fees, donations, and interest on investments.
- Payments include all the cash payments made by the club, such as rent, salaries, bills, purchases, and maintenance expenses.
- The net difference between total receipts and total payments represents the surplus or deficit for the year.
- The Receipt and Payment Account helps in understanding the cash position of the club and its financial management.
- It does not take into account non-cash transactions like depreciation or credit sales.
By analyzing the Receipt and Payment Account of Modern Club, New Delhi, it can be seen that the club had a surplus of $17,000 for the year ended March 31, 2020. This surplus can be utilized for future investments or to strengthen the financial position of the club.