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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 46 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 46 slabs for Wolff's new development of homes. Packer has the capacity to build 350 slabs and is presently working on 180 of them. Wolff is willing to pay only $2,600 per slab. Packer estimates the cost of a typical job to include unit-level materials, $940; unit-level labor, $430; and an allocated portion of facility-level overhead, $710. Required Calculate the contribution to profit from the special order. Contribution to profit Should Packer accept or reject the special order to pour 46 slabs for $2,600 each? O Accept O Reject
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