The following is the summary of transactions as on 31st December 1991, relating to a special contract completed during the year.
|
Rs |
|
|
Materials bought from the market |
1,500 |
|
Materials issued from the stores |
500 |
|
Wages |
2,440 |
|
Direct expenses |
294 |
Works on cost—25% of direct wages
Office on cost—10% of prime cost
Contract price—Rs 6,000You are required to prepare a contract account keeping in view that material returned amounted to Rs 240.