Debarge Homebuilders (DH) designs and constructs high-end homes on large lots owned by customers. DH has developed several formulas, which it uses to quote jobs. These include costs for materials, labor, and other costs. Below are the cost estimates: Administrative costs $30,000 Building costs-per sq. ft. (basic)_ 100 Building costs-per sq. ft. (moderate) 165 Building costs-per sq. ft. (luxury) 250 Appliances (basic) 16,000 Appliances (moderate) 28,000 Appliances (luxury) 50.000 Utilities costs 45,000 A customer has expressed interest in having DH build a moderate, 3,200 sq. ft. home on a vacant lot. Based on the engineering estimates above, what will such a house cost to build?|
Debarge Homebuilders (DH) designs and constructs high-end homes on large lots owned by customers. DH has developed several formulas, which it uses to quote jobs. These include costs for materials, labor, and other costs. Below are the cost estimates: Administrative costs $30,000 Building costs-per sq. ft. (basic)_ 100 Building costs-per sq. ft. (moderate) 165 Building costs-per sq. ft. (luxury) 250 Appliances (basic) 16,000 Appliances (moderate) 28,000 Appliances (luxury) 50.000 Utilities costs 45,000 A customer has expressed interest in having DH build a moderate, 3,200 sq. ft. home on a vacant lot. Based on the engineering estimates above, what will such a house cost to build?|
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Debarge Homebuilders (DH) designs and constructs high-end homes on large lots owned by
customers. DH has developed several formulas, which it uses to quote jobs. These include costs
for materials, labor, and other costs. Below are the cost estimates:
Administrative costs
$30,000
Building costs-per sq. ft. (basic)_
100
Building costs-per sq. ft. (moderate)_
165
Building costs-per sq. ft. (luxury)_
250
Appliances (basic)
16,000
Appliances (moderate)
28,000
Appliances (luxury)_
50.000
Utilities costs
45,000
A customer has expressed interest in having DH build a moderate, 3,200 sq. ft. home on a vacant
lot. Based on the engineering estimates above, what will such a house cost to build?
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