Illustration 7.14. The following is the trial balance of Premier Construction Company aged on the execution of Contract No. 747, for the year ended 31st December, 2006: Contractee's Account-amount received Buildings Creditors Bank Balance Capital Account Materials Rs. R 3.00.000 1,60,000 72.000 35.000 5,00,000 2. been use charged Capital Profit & Wages Expenses Plant 2,00,000 1,80,000 Less: A Deprec 47,000 Unabs 2.50.000 8,72,000 8.72.000 The work on Contract No. 747 was commenced on 1st January 2006. Materials costing Rs. 1,70,000 were sent to the site of the contract but those of Rs. 6,000 were destroyed in an accident. Wages of Rs. 1,80,000 were paid during the year. Plant costing Rs. 50,000 was used on the contract all through the year. Plant with a cost of Rs. 2 lakhs was used from 1st January to 30th September and was then returned to the stores. Materials of the cost of Rs. 4,000 were at site on 31st December, 2006. The contract was of Rs. 6,00,000 and the contractee pays 75% of the work certified. Work certified was 80% of the total contract work at the end of 2006. Uncertified work was estimated at Rs. 15,000 on 31st December, 2006. Expenses are charged to the contract at 25% of Wages. Plant is to be depreciated at 10% for the entire year. Prepare Contract No. 747 Account for the year 2006 and make out the Balance Sheet as on 31st December 2006 in the books of Premier Construction Co. exp Credit