Gorrells and Sunn builds high-quality homes ranging in price from $200,000 to $1 million. John Ellis, a local physician, has asked Gorrells and Sunn to show him some house plans. Dr. Ellis has selected a plan that calls for $300,000 in building materials, $180,000 in labor, and $40,000 in add-ons, but he doesn”t want to pay more than $575,000 for his home. Gorrells and Sunn typically prices its homes based on the total cost of construction plus 15%.
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