A manufacturing firm is considering two locations for a plant to produce a new product. The two locations have fixed and variable costs as follows:<\/p>
<\/p>
Location<\/p>
FC (annual)<\/p>
VC (per unit)<\/p>
Atlanta<\/p>
$<\/p>
80,000<\/p>
<\/p>
$<\/p>
20<\/p>
<\/p>
Phoenix<\/p>
$<\/p>
140,000<\/p>
<\/p>
$<\/p>
16<\/p>
<\/p>
<\/p>
<\/p>
If the annual demand will be 20,000 units,what would be the cost advantage of the better location? HINT: Compare the total costs<\/p>", "transcribed_text": "", "related_book": { "title": "Principles of Accounting", "isbn": "1439037744, 978-1133626985, 978-1439037744", "edition": "11th Edition", "authors": "Needles, Powers, crosson", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/95.jpg", "uri": "\/textbooks\/principles-of-accounting-11th-edition-95", "see_more_uri": "" }, "free_related_book": { "isbn": "8483220407", "uri": "\/textbooks\/construccion-software-or-objetos-2-e-1st-edition-978-8483220405-390885", "name": "Construccion Software Or Objetos", "edition": "2nd Edition" }, "question_posted": "2024-06-17 14:06:31", "see_more_questions_link": "\/study-help\/questions\/business-management-leadership-2023-June-05", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/exercise-10-28-presented-measurements-of-plastic-coating", "description": "Exercise 10-28 presented measurements of plastic coating thickness at two different application temperatures. 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