A firm of builders, carrying on large contracts, kept in a contract ledger separate accounts for each contract. On 30th June 1994, the following was shown as being the expenditure in connection with a contract:
|
Rs |
|
|
Materials purchased |
58,063 |
|
Material from stores |
9,785 |
|
Plant which had been used on other contracts |
12,523 |
|
Additional plant purchased |
3,610 |
|
Wages |
73,634 |
|
Direct expenses |
2,036 |
|
Proportion of establishment charge |
8,720 |
The contract which had commenced on 1st January 1994 was for Rs 3,00,000 and the amount certified by the architect, after a deduction of 20% retention money, was Rs 1,20,800, the work being certified up to 30th June 1994.
The materials on the site at the date were 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 the plant on the contract up to 30th June 1965 was Rs 1,130.
You are required to prepare an account showing the profit on the contract up to 30th June 1994.