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thats all the information I have A firm that has recently experienced enormous growth is seeking to expand its capacity by leasing a small plant,
thats all the information I have
A firm that has recently experienced enormous growth is seeking to expand its capacity by leasing a small plant, and is considering three cities. The table below shows fixed cost per year, variable cost per unit, and additional system transportation cost per year for each location. The selling price is $11 per unit. Variable Cost per Unit Location Plant A Plant B Plant C Fixed Cost per Year $ 70,000 $ 86,000 $ 82,000 $ 8 $ 6 $ 5 Based on an expected annual volume of 80,000 units, determine which plant location is expected to have the highest annual profit. The company should lease for its new location, with a profit of Plant C Plant A Plant B Step by Step Solution
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