Homework Answers
Answer;
Given first bid cost for home=$64,800
Cost reduced several times is=8%
a)
The cost per square feet for the second home = ( $ 64,800 - 0.08
* $ 64,800 ) 
2400
The cost per square feet for the second home = $ 24.84
cost per square feet for the third home = ( $ 59,616 - 0.08 * $
59,616 )
2400
cost per square feet for the third home = $ 22.85
cost per square feet for the fourth home = ( $ 54,846.72 - 0.08
* $ 54,846.72 )
2400
cost per square feet for the fourth home = $ 21.02
cost per square feet for the fifth home = ( $ 50,458.98 - 0.08 *
$ 50,458.98 )
2400
cost per square feet for the fifth home = $ 19.34
Cumulative average material cost per square feet = ( $ 27 + $
24.84 + $ 22.85 + $ 21.02 + $ 19.34 )
5
Cumulative average material cost per square feet = $ 23.01
_____________________________________________________________-
b)
Estimated material cost per square feet for the last home = $
18,552.07
2400
Estimated material cost per square feet for the last home = $ 7.73
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