Exercise 6-6A (Algo) Special order decision LO 6-2 Adams Concrete Company pours concrete slabs for...
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Exercise 6-6A (Algo) Special order decision LO 6-2 Adams Concrete Company pours concrete slabs for single-family dwellings. Lancing Construction Company, which operates outside Adams's normal sales territory, asks Adams to pour 43 slabs for Lancing's new development of homes. Adams has the capacity to build 440 slabs and is presently working on 210 of them. Lancing is willing to pay only $2,550 per slab. Adams estimates the cost of a typical job to include unit-level materials. $970; unit-level labor, $500; and an allocated portion of facility-level overhead, S1,130. Required Calculate the contribution to profit from the special order. Should Adams accept or reject the special order to pour 43 slabs for $2.550 each? Contribution to profit Should Adams accept or reject the special order
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