A contractor has a job which should be completed in 100 days. At present, he has 80 men on the job and it is estimated that they will finish the work in 130 days. Of the 80 men, 50 are each paid ₱ 120.00 a day, 25 at ₱ 180.00 a day, and 5 at ₱ 250.00 a day. For each day beyond the original 100 days, the contractor has to pay ₱ 500.00 liquidated damages.

A contractor has a job which should be completed in 100 days. At present, he has 80 men on the job and it is estimated that they will finish the work in 130 days. Of the 80 men, 50 are each paid ₱ 120.00 a day, 25 at ₱ 180.00 a day, and 5 at ₱ 250.00 a day. For each day beyond the original 100 days, the contractor has to pay ₱ 500.00 liquidated damages.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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