Ranges in demand for which location will be most economical

Reference no: EM131441212

You’re considering a new manufacturing plant in Location LA, LB, LC, and LD. For production, fixed costs per year are $30k, $60k, $110k, and $200k respectively. Variable costs per case are $75, $45, $25, and $5 respectively. Completed cases can be sold with a selling price of $220 per case. What are the ranges in demand for which each location will be most economical?

Reference no: EM131441212

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