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significant increase in demand for its final-mile services. Acadia could either lease public warehouse space to cover all levels of demand or construct its own
significant increase in demand for its final-mile services. Acadia could either lease public warehouse space to cover all levels of demand or construct its own distribution center to meet a specified level of demand, and then use public warehousing to cover the rest. The yearly cost of building and operating its own facility, including the amortized cost of construction, is $12.00 per square foot. The yearly cost of leasing public warehouse space is $21.50 per square foot. 3 Click the icon to view the expected demand requirements. a. The expected value of leasing public warehouse space as required by demand is $ (Enter your response as a whole number.) b. The expected value of building a 100,000-square-foot distribution center and leasing public warehouse space as required if demand exceeds the need for 100,000 square feet of space is $ - (Enter your response as a whole number.) c. The expected value of building a 200,000-square-foot distribution center and leasing public warehouse space as required if demand exceeds the need for 200,000 square feet of space is $ - (Enter your response as a whole number.) d. The expected value of building a 300,000-square-foot distribution center and leasing public warehouse space as required if demand exceeds the need for 300,000 square feet of space is $ (Enter your response as a whole number.) e. The expected value of building a 400,000 -square-foot distribution is $ (Enter your response as a whole number.) f. Which of the above decisions provides the minimized expected value? (1) the minimum expected value. 3: More Info (1)OptionDhasBothoptionsBandChaveOptionEhasOptionAhasOptionChasBothoptionsAandChaveBothoptionsBandDhave
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