scholarship granted to students out of funds provided by government will be debited to income and expenditure account. true or false with reason

Dear student,
​​​​​​The above statement is false. This is because, If any fund is provided for any specific purpose, then all respective incomes / expenses are added or subtracted from the respective fund. 
Here, Government has provided fund for the scholarships. So, scholarship given will be deducted from that fund. 
Hope this helps you!
Regards
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