S tld is building an extension to a local factory. The agreed contract price is $ 300000. The contract commenced on 1st March year 2 and is scheduled for completion on 30th June year 3. S tld financial year ends on 31th December.
The following details are available concerning the factory contract at 31st December year 2.
Materials sent to site from central stores ...,.........................15000
Materials delivered to site direct from supplies...................70000
Plant delivered to site.........................,..................................40000
Direct wages paid................................................................73000
Direct site expenses paid...................................................38000
Head office charges .........................................................12000
Material returned from side to central stores................6000
Value work certified, 31th December year 2..............230000
Net book value of plant on site, 31th December year 2.......32000
Materials on site 31th December year 2......................4000
Direct wages owing at 31th December year 2...........3000
Cash received from customer....................................207000
Estimated cost to complete the contract...............125000

You are required to prepare the contract account for the period ended 31th December year 2 and to show the amount to be included in S tld profit and loss account in respect of the contract for period.​



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