Non-Profit Making Organisations
For You To Do 12: Solution
The solution to part a of this question is shown in two parts: firstly, the calculation of how many members will become life members, and then the estimate of the annual charge to be shown in each year's IEA.
| Estimated number of members | ||||
|---|---|---|---|---|
| Members | Potential life members | Estimated life members | Estimated fees receivable | |
| Male | 48 | 25% | 12 | 1,140 |
| Female | 100 | 35% | 35 | 3,325 |
| Life membership fees per IEA | ||||
| Estimated fees receivable | Duration of life membership | Annual charge | ||
| Male | 1,140 | 25 | 45.60 | |
| Female | 3,325 | 35 | 95.00 | |
| Total | 4,465 | 140.60 | ||
For part b all we have to do is to rework the second part of the answer to part a.
| Life membership fees per IEA: revised to spread over 10 years for all | |||
|---|---|---|---|
| Estimated fees receivable | Duration of life membership | Annual charge | |
| Male | 1,140 | 10 | 114.00 |
| Female | 3,325 | 10 | 332.50 |
| Total | 4,465 | 446.50 | |
Part c contains similar calculations to parts a and b but read through what follows carefully and make sure you agree with it.
| Extension | |||
|---|---|---|---|
| Estimated fees | Estimated life members | Fee | Estimated fees receivable |
| Couples | 40 | 125 | 5,000 |
| Singles male | 9 | 95 | 855 |
| Singles female | 21 | 95 | 1,995 |
| 7,850 | |||
| Life membership fees per IEA | Estimated fees receivable | Duration of life membership | Annual charge |
| Couples | 5,000 | 25 | 200.00 |
| Singles male | 855 | 25 | 34.20 |
| Singles female | 1,995 | 35 | 57.00 |
| 7,850 | 291.20 | ||
| Life membership fees per IEA: revised to spread over 10 years for all | Estimated fees receivable | Duration of life membership | Annual charge |
| Couples | 5,000 | 10 | 500.00 |
| Singles male | 855 | 10 | 85.50 |
| Singles female | 1,995 | 10 | 199.50 |
| 7,850 | 785.00 | ||