Jordan 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 Jordan 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 Contract price Unit-level materials Unit-level labor Unit-level overhead Supervisor's salary Rental equipment costs Depreciation on tools (zero market value) Allocated portion of company-vide facility-sustaining costs Insurance cost for job Lacy Job Job B $816,000 $698,000 245,600 225,050 249, 250 307,000 19,500 13,400 115,770 115, 770 26,700 27,600 21, 2002 1,200 11,600 10,000 16,300 16,300 Required a. Assume that Jordan has decided to accept one of the two jobs. Ful in the information relevant to selecting one job versus the other Recommend which job to accept b. Assume that Job A is no longer available. Jordan's choice is to accept or reject Job Balone. Fill in the information relevant to this decision. Recommend whether to accept or reject Job B. Complete this question by entering your answers in the tabs below. Required A Required B Assume that Jordan has decided to accept one of the two jobs. Fill in the information relevant to selecting one job versus the other. (Negative amounts should be indicated by a minus sign) Job A Job B Decision Contract price Unit-level materials Unit-level labor Unit-level overhead Supervisor's salary Rental equipment costs Depreciation on tools (zero market value) Allocated portion of companywide facility-sustaining costs Insurance cost for job Contribution to profit oss) Recommend which job to accept? Jordan 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 Jordan 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 Contract price Unit-level materials Unit-level labor Unit-level overhead Supervisor's salary Rental equipment costs Depreciation on tools (zero market value) Allocated portion of company-wide facility-sustaining costs Tnsurance cost for job Job $816,000 245,600 249,250 19,500 115,770 26,700 21,200 11,600 16,300 Jobs $698,000 225,050 307.000 13,400 115,770 27,600 21,200 10,000 16,300 Required a. Assume that Jordan 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 b. Assume that Job A is no longer available. Jordan'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. Complete this question by entering your answers in the tabs below. Required A Required B Assume that Job A is no longer available. Jordan's choice is to accept or reject Job Balone. Fill in the information relevant to this decision. (Negative amounts should be indicated by a minus sign.) Job B Decision Contract price Unit-level materials Unt-love labor Unt-level Overhead Rental equipment costs Depreciation on tools (zero market value) Allocated portion of companywide facility-sustaining costs Supervisor's salary Insurance cost for job Contribution to profit (s) Recommend whether to accept or reto
