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Adams Concrete Company pours concrete slabs for single-family dwellings. Lancing Construction Company, which operates outside Adamss normal sales territory, asks Adams to pour 41 slabs
Adams Concrete Company pours concrete slabs for single-family dwellings. Lancing Construction Company, which operates outside Adamss normal sales territory, asks Adams to pour 41 slabs for Lancings new development of homes. Adams has the capacity to build 420 slabs and is presently working on 140 of them. Lancing is willing to pay only $2,600 per slab. Adams estimates the cost of a typical job to include unit-level materials, $920; unit-level labor, $410; and an allocated portion of facility-level overhead, $1,330. Required Calculate the contribution to profit from the special order. Should Adams accept or reject the special order to pour 41 slabs for $2,600 each
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