Question

A company is offered a contract which has the following terms: An immediate cash outlay
of Rs. 15,000 followed by a cash inflow of Rs. 17,900 after 3 years. What is the company's rate
of return on this contract?
Solution:
hich the commanv​

Answer 1

Answer:

direct and indirect expenditure incurred in relation to the contract. It is credited with the amount of contract price on completion of the contract. The balance represents profit or loss made on the contract and is transferred to Profit and Loss Account