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Exercise 6 - 6 A ( Algo ) Special order decision LO 6 - 2 Jordan Concrete Company pours concrete slabs for single - family

Exercise 6-6A (Algo) Special order decision LO 6-2
Jordan Concrete Company pours concrete slabs for single-family dwellings. Lancing Construction Company, which
operates outside Jordan's normal sales territory, asks Jordan to pour 50 slabs for Lancing's new development of
homes. Jordan has the capacity to build 430 slabs and is presently working on 130 of them. Lancing is willing to pay
only $2,550 per slab. Jordan estimates the cost of a typical job to include unit-level materials, $920; unit-level labor,
$590; and an allocated portion of facility-level overhead, $1,100.
Required
Calculate the contribution to profit from the special order. Should Jordan accept or reject the special order to pour 50
slabs for $2,550 each?
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