The correct answer is Rs. 85600SolutionCalculation of Subscription for the year 2019-20Subscription received during the year 2019-20Rs. 84000 Add: Subscription outstanding at the end of the year 2019-20Rs 6000 Rs. 90000Less: Subscription received in advance for the year 2020-21(Rs. 1200)Less: Subscription outstanding for the year 2018-19(Rs. 3200)Subscription shown in Income and Expenditure AccountRs. 85600 Outstanding subscriptions for the current year are added to subscriptions received during the year because they are related to the current year. They will be subtracted from the subscription received next year when received. Subscription received in advance for the year is accrued income. Hence, it is subtracted from the subscription received. Outstanding subscription received for the previous year is subtracted, as the accounting for the same has already been done in the previous year. The resultant amount is the amount to be credited to the Income and Expenditure account in respect of subscription.