ECONOMICS

Detailed explanation-1: -Work certified is valued at contract price (i.e, selling price), and includes an element of profit. Work Uncertified. This is that part of the work-in-progress which is not approved by the architect or engineer.

Detailed explanation-2: -Value of work certified = Cash Received / Cash Received as percentage of work certified. Page 8. Work Uncertified. The part of contract work completed by the contractor but not. certified by the architect because of faulty work or the work not according to the specifications is known as work uncertified.

Detailed explanation-3: -The work done under the contract shall be judged by the contractees architect, surveyor, or engineer who will issue a certificate stating the value of work done so far and approved by him such work is known as work certified.

Detailed explanation-4: -Work certified is valued at cost . 4. The cost of material lost or destroyed is debited to the contract account.

Detailed explanation-5: -Notional Profit = Value of work certified – (Cost of works to date – Cost of work not yet certified)5. Determination Value of work certified, Cost of work not certified, Notional and Estimated profit from a contact.