Contracts & ExecutionQuestion 197 of 1632
On a unit-price paving contract at $3.20 per square foot, the field measures 9,500 square feet actually paved. What is the contractor entitled to be paid?
a.$28,500
b.$30,400
c.$304,000
d.$3,040
Explanation
A unit-price contract pays the unit price times the measured quantity: $3.20 x 9,500 sq ft = $30,400. $28,500 is the same quantity at $3.00, a rounded-down unit price. $304,000 comes from reading the rate as $32.00 per square foot, and $3,040 from $0.32 — both are decimal-point slips of one place in opposite directions.
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