No cash transaction will be excluded from: (a) Balance Sheet (b) Profit & Loss A/c

Answer: (c) Receipts and Payments A/c

The Receipts and Payments Account records every cash and bank receipt and payment of the year, whether it is capital or revenue, and whether it relates to the past, current or future year. So no cash transaction is left out of it.

The Income and Expenditure A/c includes only revenue items of the current year, and the Balance Sheet shows only balances, so they exclude many cash transactions. Non-cash items like depreciation are not shown in Receipts and Payments A/c at all.