Nestl is assessing the costs for expanding its dairy processing facilities. Fixed expansion costs are $500 million, and variable processing costs per unit are $2.

Nestlé is assessing the costs for expanding its dairy processing facilities. Fixed expansion costs are $500 million, and variable processing costs per unit are $2. Nestlé plans to process 500 million units in the first year. Additionally, distribution and logistics costs are estimated at $150 million, and regulatory compliance expenses are projected to be $50 million.

Requirements:

• Calculate the total expansion and logistics costs for the dairy processing facilities.
• Determine the processing cost per unit.
• Analyze the impact of processing an additional 100 million units.
• Discuss the role of distribution and logistics in dairy product supply chain management.
• Evaluate the total cost of expanding Nestlé's dairy processing capacity.
• Recommend strategies for optimizing cost efficiency in dairy processing operations.