70.2K

Verified Solution

Link Copied!

iv, A firm of builders, carrying out large contracts kept in

contract ledger separate accounts for each contract. On

30 June, 2013 the following was shown as being the

expenditure in connection with contract A : see screenshot

CoursHeroTranscribedText: cost of material and labour will increased by 15% and 10% respectively. Calculate the price to be quoted. 4134/MR/9810/HHH/25 2 IV. A firm of builders, carrying out large contracts kept in contract ledger separate accounts for each contract. On 30 June, 2013 the following was shown as being the expenditure in connection with contract A : Rs. Material purchased 60,063 Material from stores 7,785 Plant which had been used on other contracts 12,523 Additional plant purchased 3,610 Wages 73,634 Direct expenses 2,026 Establishment charges 8,720 The contract which has been commenced on 1 February, 2013 was of Rs. 3,00,000 and amount certified by the architect after deduction of 20% retention money was Rs. 1,20,800 representing 80% of work certified upto 30 June, 2013. The materials on the site at that date was valued at Rs. 9,858. A contract plant ledger was also kept in which depreciation was dealt with monthly, the amount debited in respect of plant on contract A to 30 June, 2013 was Rs. 1, 130. You are required to prepare an account showing the profit on the contract to 30 June, 2013. 4134/MR/9810/HHH/25 W [P. T. O. V. What do you understand by Integrated Accounts? What

Answer & Explanation Solved by verified expert

See Answer