Final accounts of a not-for-profit making organization is made up of

Final accounts of a not-for-profit making organization are made up of income and expenditure account and balance sheet. The income and expenditure account is similar to the profit and loss account of a profit-making organization, and it shows the revenues and expenses of the organization for the period under consideration. The balance sheet, on the other hand, shows the assets, liabilities and the capital of the organization at the end of the period. The subscription accounts are part of the income and expenditure account, which shows the subscription income for the period. However, it is not the only component of the income and expenditure account, which also includes other revenue and expenses items. Receipts and payments account is a summary of cash and bank transactions, which are used to prepare the income and expenditure account and the balance sheet of the not-for-profit organization.