In: Accounting
Kid Rock Const.: Kid Rock has decided to pour a footing and foundation for his new home. His original estimate for the labor to complete the footings and foundations was $10,000. He decided to subcontract this work out for $10,200. The subcontractor has billed Kid Rock $3,200 for this work. Kid Rock’s original estimate for the concrete material to complete the footings and foundations was $15,000 and a change order of $6,000 was approved to increase the amount of concrete.
What is the original total estimate for the pouring of footing and foundation (labor and concrete)?
Group of answer choices
$25,200
$31,200
$25,000
22,000
Notes: | |||
Estimate for the labour for footings and foundation | $ 10,000 | ||
Contract given for this | $ 10,200 | ||
Estimate for material | $ 15,000 | ||
Change order approved to increase the amount | $ 6,000 | ||
Solution: | |||
CALCULATION OF ORIGINAL TOTAL ESTIMATE | |||
Total Estimate for the labour for footings and foundation | $ 10,000 | ||
Total Estimated of concrete for completion of work | $ 15,000 | ||
Total Estimate for the pouring of footing and foundation | $ 25,000 | ||
Answer = Option 3 = $ 25,000 | |||