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A manufacturing firm is deciding to open a new warehouse. The first location would be in Cleveland, with lower shipping costs. The second location would

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A manufacturing firm is deciding to open a new warehouse. The first location would be in Cleveland, with lower shipping costs. The second location would be in Chicago, with higher expected sales. The per-unit revenue for each widget is $190. Annual fixed costs ($ millions) Variable cost per unit Expected annual demand (units) Cleveland $ 1.0 $ 32 9,775 Chicago $ 1.2 $ 46 11.750 Where do you recommend they locate, in order to maximize profit? (Omit the "S" sign in your response.) Cleveland would produce the greater gross profit of $

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