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Packer Concrete Company pours concrete slabs for single-family dwellings. Wolff Construction Company, which operates outside Packer's normal sales territory, asks Packer to pour 47 slabs
Packer Concrete Company pours concrete slabs for single-family dwellings. Wolff Construction Company, which operates outside Packer's normal sales territory, asks Packer to pour 47 slabs for Wolff's new development of homes. Packer has the capacity to build 450 slabs and is presently working on 140 of them. Wolff is willing to pay only $2,630 per slab. Packer estimates the cost of a typical job to include unit-level materials, $820; unit-level labor, $570; and an allocated portion of facility-level overhead, $720. Required Calculate the contribution to profit from the special order. Contribution to profit Should Packer accept or reject the special order to pour 47 slabs for $2,630 each? O Accept O Reject
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