alleryDonation ₹50,000 received; no specific purpose stated. Treatment:
ACredit to specific fund
BDebit to expense head
CCapitalise as fixed asset
DCredit to general I&E
Answer & Solution
Correct answer: D. Credit to general I&E
1. General donations without a specified purpose are revenue receipts.
2. They are credited to I&E Account.
3. Specific-purpose donations go to restricted funds.
_Source: ICAI BoS Foundation Paper 1, Ch 8 "NPO", §3.1 ordinary donations_
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