Which of the following is accounted for in receipts and payments account?

A. Accrued expenses on annual dances
B. Subscriptions due but not yet received
C. interest on bank deposit
D. Depreciation of the club house

Correct Answer:

Option C – interest on bank deposit

Explanation

“A receipt and payment account is a summarized cash book (cash and bank) for a given period”
The bank column would reflect interest on bank deposits