Construction Ltd is engaged on two contracts A and B during the year. Following particular Is are obtained at the year end ( Dec. 31): Contract A Contact B Date of Commencement Apr-01 Sep-01 $ $ Contract price 6,00,000 5,00,000 Materials issued 1,60,000 60,000 Materials returned 4,000 2,000 Materials at size (Dec.31) 22,000 8,000 Direct Labour 1,50,000 42,000 Site Expenses Establishment Expenses 66,000 25,000 80,000 35,000 7,000 Plant installed at site 70,000 Value of Plant (Dec. 31) Cost of contract not yet certified 65,000 64,000 23,000 10,000 Value of contract certified 4,20,000 1,35,000 Cash received from contractees 3,78,000 1,25,000 Architect's Fees 2,000 1,000 During the Period materials amounting to $ 9,000 have been transferred from contract A to contact B. Your are required to show: (a) Contract accounts (b) Contractee's accounts.

Construction Ltd is engaged on two contracts A and B during the year. Following particular Is are obtained at the year end ( Dec. 31): Contract A Contact B Date of Commencement Apr-01 Sep-01 $ $ Contract price 6,00,000 5,00,000 Materials issued 1,60,000 60,000 Materials returned 4,000 2,000 Materials at size (Dec.31) 22,000 8,000 Direct Labour 1,50,000 42,000 Site Expenses Establishment Expenses 66,000 25,000 80,000 35,000 7,000 Plant installed at site 70,000 Value of Plant (Dec. 31) Cost of contract not yet certified 65,000 64,000 23,000 10,000 Value of contract certified 4,20,000 1,35,000 Cash received from contractees 3,78,000 1,25,000 Architect's Fees 2,000 1,000 During the Period materials amounting to $ 9,000 have been transferred from contract A to contact B. Your are required to show: (a) Contract accounts (b) Contractee's accounts.

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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