Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Collingwood Contractors (CC) designs and builds new model homes for individual customers. CC has developed a reputation in the market for relatively upscale, unique designs

image text in transcribed
image text in transcribed
image text in transcribed
Collingwood Contractors (CC) designs and builds new model homes for individual customers. CC has developed a reputation in the market for relatively upscale, unique designs with high-end finishings. CC has developed several formulas, which it uses to estimate costs and provide price quotes for prospective buyers. These include costs for materials, labor, and other resources. Although multiple configurations are possible for any house, CC uses three levels (or tiers) to represent increasing levels of luxury in terms of materials used. In addition, the customer can choose among three levels of increasingly sophisticated appliances and other house equipment. Finally, there is cost to bring utilities (electricity, water, and so on) to the house if required. Of course, these estimates are dependent on the region of the country and whether the lot is located in a city or in a suburb or rural area. If the building site is in a city, a premium is added based on the building and equipment costs. The following are the cost estimates for one region in the Northwest: Required: a. A customer has expressed interest in having CC build a Tier III, 5,700-square-foot home. The building site is a city lot and the customer wants the Sapphire level equipment. Based on the engineering estimates above, what will such a house cost to build? No additional utilities access is required. b. Another customer has expressed interest in having CC buld a smaller, Tier I, home, but with emerald-level equipment. This home will be on a vacant lot in the country and require utilities access to be added. The customer has chosen a 3,400-square-foot design. Based on the engineering estimates above, what will such a house cost to build? Complete this question by antering your answers In tha tabs bolow. A customer has expressed interest in having CC bulld a Tier III, 5,700-square-foot home. The building site is a city lot and the customer wants the Sapphire level equipment, Based on the engineering estimates above, what will such a house cost to build? No additional utilities access is required. Complete this question by entering your answars In tha tabs below. Another customer has expressed interest in having CC bulld a smalter, Tier 1 , home, but with emerald-level equipment. This home will be on a vacent lot in the country and require utilities access to be added. The customer has chosen a 3,400-squarefoot design. Based on the engineering estimates above, what will such a house cost to build

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Susan V Crosson, Belverd E Needles

9th Edition

0538742801, 9780538742801

More Books

Students also viewed these Accounting questions

Question

1. What factors lead to criminal behaviour?

Answered: 1 week ago

Question

8. How can an interpreter influence the message?

Answered: 1 week ago