Makes each country optimal with lowest total cost

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Reference no: EM131134019

A manufacturing firm is planning to open a new factory. There are four countries under consideration: USA, Canada, Mexico, and Panama. The table below lists the fixed costs and variable costs for each site. The product is mainly sold in the U.S. for $850 per unit.

Location Fixed Cost Variable cost

USA $400,000 $180

Mexico $100,000 $250

Canada $200,000 $200

Panama $ 60,000 $300

a- Find the range of production that makes each country optimal with lowest total cost.

Reference no: EM131134019

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