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Continent Construction Company is a building contractor specializing in small commercial buildings. The company has the opportunity to accept one of two jobs; it cannot accept both because they must be performed at the same time and Continent does not have the necessary labor force for both jobs. Indeed, it will be necessary to hire a new supervisor if either job is accepted. Furthermore, additional insurance will be required if either job is accepted. The revenue and costs associated with each job follow:

Cost Category	Job A			Job B
Contract price	$	790,000		$	740,000
Unit-level materials		244,000			214,000
Unit-level labor		258,000			308,000
Unit-level overhead		34,000			28,000
Supervisors salary		64,000			64,000
Rental equipment costs		22,000			26,000
Depreciation on tools (zero market value)		19,500			19,500
Allocated portion of companywide facility-sustaining costs		10,400			8,400
Insurance cost for job		15,800			15,800

Required

1. Assume that Continent has decided to accept one of the two jobs. Fill in the information relevant to selecting one job versus the other. Recommend which job to accept.

2. Assume that Job A is no longer available. Continent's choice is to accept or reject Job B alone. Fill in the information relevant to this decision. Recommend whether to accept or reject Job B.

Assume that Continent has decided to accept one of the two jobs. Fill in the information relevant to selecting one job versus the other. Recommend which job to accept. (Negative amounts should be indicated by a minus sign.)

	Decision Job A Job B Contract price Unit-level materials Unit-level labor Unit-level overhead Supervisors salary Rental equipment costs Depreciation on tools (zero market value) Allocated portion of companywide facility-sustaining costs Insurance cost for job Contribution to profit (loss) Recommend which job to accept?

Assume that Job A is no longer available. Continent's choice is to accept or reject Job B alone. Fill in the information relevant to this decision. Recommend whether to accept or reject Job B. (Negative amounts should be indicated by a minus sign.)

	Decision Job B Contract price Unit-level materials Unit-level labor Unit-level overhead Rental equipment costs Depreciation on tools (zero market value) Allocated portion of companywide facility-sustaining costs Supervisors salary Insurance cost for job Contribution to profit (loss) Recommend whether to accept or reject job B?

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