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CA Intermediate | CA IPCC Costing Contract Costing

10153151 616441875107752 6844265409377433766 n CAKART asked over 1 year ago

Dear Sir / Madam, November 2015 CA Intermediate | CA IPCC Costing Paper - Problem on Contract Costing

  1. Site Office Expenses for the Year ( Actually incurred ) have been given Rs 300,000
2) For Calculating Estimated Expenditure  it has been stated that - Site office expenses would be the same amount per month as charged in the previous year. Additional Period is 9 Months. My doubt is Total Site Office Expenses would be = rs 300,000 ( incurred) + (300,000 /12months) X 9 Months = 225,000 Thus total 525,000 In CA Intermediate | CA IPCC Solve answer they have taken it as 300,000 + 525,000 ( for 21 months) Kindly help me in understanding this  

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