You are given the following information : Contract Price ₹75,00,000 Cumulative figures: (i) To end of previous period — profit recognized ₹12,25,000 (ii) To end of current period — total costs ₹41,50,000 (iii) Cost of wo
CS Executive · Cost and Management Accounting · PYQS · December 2020
You are given the following information : Contract Price ₹75,00,000 Cumulative figures: (i) To end of previous period — profit recognized ₹12,25,000 (ii) To end of current period — total costs ₹41,50,000 (iii) Cost of work certified ₹54,00,000 (iv) Estimated future costs to completion ₹7,25,000 (v) Estimated rectification costs 15% of contract price The profit/loss to be recognized as per AS 7 in the current period is :
Answer & Explanation:
Correct Answer: Option (C)
Official answer key: (C).
Topics: Contract Costing
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