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Location Fixed cost per year Material Variable labor Overhead Spain (200,000 E0.20 E0.40 E0.40 Portugal (180,000 E0.25 0.75 60.75 Denmark (170,000 (1.00 E1.00 (1.00 -

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Location Fixed cost per year Material Variable labor Overhead Spain (200,000 E0.20 E0.40 E0.40 Portugal (180,000 E0.25 0.75 60.75 Denmark (170,000 (1.00 E1.00 (1.00 - 1) Graph the total cost lines. -2) Over what range of annual volume is each facility going to have a competitive advantage? -3) What is the volume at the interaction of Portugal and Denmark cost lines

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