A credit balance of Income and Expenditure Account denotes excess if expenses over incomes.

Question

State with reasons whether the following statements are TRUE or FALSE:

(i) A credit balance of Income and Expenditure Account denotes excess if expenses over incomes.

(i) Scholarships granted to students out of funds provided by government will be debited to Income and Expenditure Account.

Answer 1

(i) False

(ii) False