This module covers the accounts of non-profit-making organisations such as sports clubs, drama societies and youth groups. The skills are: reading a receipts and payments account, turning it into an income and expenditure account, adjusting subscriptions, finding the surplus from an event, and tracking the accumulated fund.
Check the current Cambridge IGCSE Accounting 0452 syllabus for the exact content points in your exam year. Our Accounting learning guide shows where this module sits among the others.
What should you already know?
You should be comfortable with double entry, accruals and prepayments, and depreciation. If those feel shaky, revisit accruals and prepayments and depreciation and asset disposal first. Club accounts reuse those ideas under new names.
An orienting example
Taman Seri Chess Club has the following for the year ended 31 December 2025.
| Receipts and payments account | RM |
|---|---|
| Opening cash | 1,200 |
| Receipts: subscriptions | 3,600 |
| Receipts: tournament entry fees | 900 |
| Payments: hall hire | (1,500) |
| Payments: prizes | (600) |
| Payments: chess equipment | (800) |
| Closing cash | 2,800 |
Check: 1,200 + 4,500 − 2,900 = 2,800.
The club also tells you that members owe RM300 of subscriptions at year end (none were owed at the start), and that equipment is depreciated at 10% on cost.
Income and expenditure account: subscriptions are 3,600 + 300 = 3,900. Add entry fees of 900 for total income of 4,800. Expenditure is hall hire 1,500, prizes 600 and depreciation 80 (10% of 800), which makes 2,180. The surplus is 4,800 − 2,180 = 2,620.
Notice that cash rose by 1,600 while the surplus is 2,620. The equipment purchase, the unpaid subscriptions and the depreciation explain the gap.
In what order should you study the lessons?
- Distinguish receipts-and-payments from income-and-expenditure first, because every other lesson depends on knowing which statement a figure belongs in.
- Adjust subscriptions to the right period next, since subscriptions are the main income and the first adjustment you will meet.
- Calculate an event surplus to handle dinners, sports days and stalls that have their own income and costs.
- Treat a club asset purchase appropriately to decide what is capital, what is expense, and how depreciation enters.
- Reconcile accumulated fund movement to connect the surplus to the statement of financial position and check your work.
Which traps catch most students?
The first trap is copying the cash book into the income and expenditure account without adjusting it. The second is charging a capital purchase as an expense. The third is reversing the signs on opening and closing subscription balances.
A fourth trap is vocabulary: a club has a surplus or deficit, never a profit or loss, and an accumulated fund, never capital. Examiners notice these words.
How should you use the practice set?
Work through the clubs and societies practice set after the lessons. Cover each answer, write your own working, then compare.
The set ends with a full mixed question that includes a statement of financial position, so you can check your answer two ways. The double-entry and ledger trainer is useful for rebuilding the subscription ledger.
If you would like a teacher to watch your working on club questions, see our online one-to-one Accounting tuition.