A. Subscription paid in advance
B. stock paid for in advance
C. outstanding wages and salaries
D. donations
Correct Answer: Option B
B. stock paid for in advance
Explanation
Receipts and payments account are used by non-profit making organization, It is a summarized form of Cash Book. All receipts are recorded on its left-hand (Debit) side and all payments are recorded on its right-hand (credit) side. receipts & payments accounts show only the cash and bank transactions in that accounting period. it doesn’t include stock paid for in advance
