Explore BrainMass

Explore BrainMass

    Location strategies

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    The Quick Copy center for document copying is deciding where to locate a new facility. The annual fixed and variable costs for each site it is considering have been estimated as follows:

    Location Fixed Costs Variable Costs

    A $85,000 $2/unit
    B $49,000 $7/unit
    C $35,000 $10/unit
    D $65,000 $6/unit

    If demand is expected to be 3000 units, calculate the total costs.

    Total Cost A = $

    Total Cost B = $

    Total Cost C = $

    Total Cost D = $

    Which location is best?

    A

    B

    C

    D

    © BrainMass Inc. brainmass.com June 4, 2020, 2:22 am ad1c9bdddf
    https://brainmass.com/business/business-management/location-strategies-454954

    Solution Preview

    a. If demand is expected to be 3000 units, calculate the total costs.

    Volume needed=3000 ...

    Solution Summary

    Solution determines the appropriate location in the given case.

    $2.19

    ADVERTISEMENT