Explanation:

To determine the correct amount to be credited to the Income and Expenditure Account for subscriptions:

- Opening Outstanding Subscription (31-03-2009): Rs 10,000

- Closing Outstanding Subscription (31-03-2010): Rs 25,000

- Opening Advance Subscription (31-03-2009): Rs 3,000

- Closing Advance Subscription (31-03-2010): Rs 2,000

- Subscriptions Received during 2009-10: Rs 4,00,000

Calculate by:

- Adding closing outstanding subscription: Rs 25,000

- Subtracting opening outstanding subscription: Rs 10,000

- Adding opening advance subscription: Rs 3,000

- Subtracting closing advance subscription: Rs 2,000

$$ \text{Amount Credited} = 4,00,000 + 25,000 - 10,000 + 3,000 - 2,000 $$

$$ \text{Amount Credited} = 4,16,000 $$

- Option 2: Rs 4,16,000 is the correct answer.