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Micron is planning to construct a new semiconductor fabrication plant. They are considering three locations in Upstate New York: Albany, Syracuse, and Buffalo. The fixed

Micron is planning to construct a new semiconductor fabrication plant. They are considering three locations in Upstate New York: Albany, Syracuse, and Buffalo. The fixed and variable costs for each of these facilities are as follows:
Albany: $6,100,000 fixed cost and $40 per unit variable cost
Syracuse: $5,500,000 fixed cost and $45 per unit variable cost
Buffalo: $7,200,000 fixed cost and $35 per unit variable cost
Which of the following statements is (are) true?
I. The point of indifference between Albany and Syracuse is 125,000 units.
II. The total cost of Albany at 100,000 units is $9,600,000.
III. At 100,000 units, Syracuse is the lowest-cost option.
Question 2 options:
I, II and III
I and II
I and III
III only
II only
II and III
I only

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