What is the profit to date on the contract at 31 March 20X3?
On 1 October 20X2 Loto Construction entered into a contract to construct a bridge over a river. The agreed price was Rs.50 million and construction is expected to be completed on 30 September 20X4. Costs to date are:
|
|
Rs. M |
|
Materials, labour and |
12 |
|
Specialist plant acquired 1 October 20X2 |
8 |
The sales value of the work done at 31 March 20X3 has been agreed at Rs.22 million and the estimated cost to complete (excluding plant depreciation) is Rs.10 million. The specialist plant will have no residual value at the end of the contract and should be
What is the profit to date on the contract at 31 March 20X3?
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