The Puxton Social Club provides social facilities for the local community. The treasurer provided the following information: 1 Balances on 1 October 2016 Subscriptions in arrears $200 Subscriptions in advance $320 2 Subscriptions received and banked during the year, $7600 3 None of the subscriptions in arrears at 1 October 2016 were received. These were written off as irrecoverable. 4 Balances on 30 September 2017 Subscriptions in arrears $280 Subscriptions in advance $400 REQUIRED

1. (a)Prepare the subscriptions account for the year ended 30 September 2017. Balance the account and bring down the balances on 1 October 2017. Subscriptions account Date Details $ | Date Details $[6]
2. (b)State two differences between a receipts and payments account and an income and expenditure account.[4]
3. (c)After the preparation of the income and expenditure account the following balances remained in the books at 30 September 2017: Subscriptions in advance $400 Subscriptions in arrears $280 Trade payables $80 Treasurer's salary owing $250 Inventory of refreshments $350 Surplus $150 Heat and light prepaid $30 Equipment and fixtures (at valuation) $5800 8% Bank loan (repayable 31 December 2019) $3500 Bank $170 Debit REQUIRED Prepare the statement of financial position at 30 September 2017 showing the value of the accumulated fund at 1 October 2016 and 30 September 2017. Puxton Social Club Statement of Financial Position at 30 September 2017 $ | $[8]
4. (d)The Puxton Social Club depreciates the equipment and fixtures using the revaluation method. REQUIRED State two advantages of the revaluation method of depreciation.[2]