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Thornton Concrete Company pours concrete slabs for single - family dwellings. Lancing Construction Company, which operates outside Thornton s normal sales territory, asks Thornton to
Thornton Concrete Company pours concrete slabs for singlefamily dwellings. Lancing Construction Company, which operates outside Thorntons normal sales territory, asks Thornton to pour slabs for Lancings new development of homes. Thornton has the capacity to build slabs and is presently working on of them. Lancing is willing to pay only $ per slab. Thornton estimates the cost of a typical job to include unitlevel materials, $; unitlevel labor, $; and an allocated portion of facilitylevel overhead, $Required Calculate the contribution to profit from the special order. Should Thornton accept or reject the special order to pour slabs for $ each?
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