Exercise 5-28 (Algo) Methods of Estimating Costs: Engineering Estimates (LO 5-1, 2) Ferdinand Construction (FC) manages the design and construction of hospitals. Ferdinand has developed several formulas that it uses to quote jobs. These include costs of basic construction but exclude equipment and furniture. These estimates are also dependent on the purpose of the hospital (teaching hospitals are more costly to build) and location (downtown hospitals are more costly to build). Both of these are based on the building costs. The estimated costs also depend on whether the hospital has few or many stories (high-rise buildings are more expensive). The following are the cost estimates for one region in the Northeast: Design costs $ 15,006,000 Building costs per square foot (low-rise) 360 Building costs per square foot (high-rise) 420 Downtown premium 60% Teaching hospital premium 20% Required: A local university medical school has asked Ferdinand Construction to provide a quote on a high-rise teaching hospital located in the city center downtown. The university estimates the hospital will be 306,000 square feet in total. Based on the engineering estimates above, what will such a hospital cost to build? Note: Enter your answers in thousands.