A and b (the parties) are two companies whose businesses are ames) are two companies whose businesses are the construction of many types of public and private construciton services. they set up a to work together for the purpose of fulfilling a a private construciton services. they set up a contractual arrangement construction of a motor way betwen two cities for p2 for the purpose of fulfilling a contract with the government for the motor way betwen two cities for p24 million (a fixed price contract). the contractual arrangement determines the participation shares of a lishes: a joint control of the arrangement;
b.. the rights to all the assets needed to undertake the activities of the arrange ment are shared by the parties on the basis of their participation shares in the arrangement; the parties have joint responsibility for all operating and financial obligations relating to the activities of the arrangement on the basis of their participation shares in the arrangement, and
d. the profit or loss resulting from the activities of the arrangement is sahred by a and b on the basis of their participation shares in the arrangement. in 2013, in accordance with the agreement between a and
b.a and b cach used their own equipment and employees in the construction activity a constructed three bridges needed to cross rivers on the route at a cost of p8 million b constructed all of the other clements of the motorway at a cost of p10 million a and b shares equally in the p24 million jointly invoiced to (and received from) the government