Question:
Mr X and Mr Y undertook a contract for Rs. 5,00,000 for construction of a building. The following is the information concerning the contract during the year 2009:
|
|
|
Materials sent to site
|
1,70,698
|
|
Labour engaged on site
|
1,48,750
|
|
Plant installed at site at cost
|
30,000
|
|
Direct expenditure
|
6,334
|
|
Establishment charges
|
8,252
|
|
Materials returned to store
|
1,098
|
|
Work certified
|
3,90,000
|
|
Value of plant as on 31 December 2009
|
22,000
|
|
Cost of work not yet certified
|
9,000
|
|
Materials at site - 31 December 2009
|
3,766
|
|
Wage accrued on 31 December 2009
|
4,800
|
|
Direct expenditure accrued on 31 December 2009
|
480
|
|
Cash received from contractee
|
3,60,000
|
Prepare contract account, contractee's account and show the balance sheet as on 31 December 2009.