subject
Business, 07.01.2021 19:00 allytrujillo20oy0dib

A newly formed firm must decide on a plant location. There are two alternatives under consideration: locate near the major raw materials or locate near the major customers. Locating near the raw materials will result in lower fixed and variable costs compared to locating near the market, but the owners believe there would be a loss in sales volume because customers tend to favor local suppliers. Revenue per unit will be $179 in either case. Revenue per unit will be $183 in either case. Using the following information, determine which location would produce the greater profit. Omaha Kansas city
Annual fixed costs ($ millions) $1.2 $1.4
Variable cost per unit $36 $47
Expected annual demand (units) 8,000 12,000

ansver
Answers: 3

Other questions on the subject: Business

image
Business, 21.06.2019 22:10, jdiel14
Fess receives wages totaling $74,500 and has net earnings from self-employment amounting to $71,300. in determining her taxable self-employment income for the oasdi tax, how much of her net self-employment earnings must fess count? a. $74,500 b. $71,300 c. $53,900 d. $127,200 e. none of the above.
Answers: 3
image
Business, 22.06.2019 19:30, jeanlucceltrick09
Consider the following two projects. both have costs of $5,000 in year 1. project 1 provides benefits of $2,000 in each of the first four years only. the second provides benefits of $2,000 for each of years 6 to 10 only. compute the net benefits using a discount rate of 6 percent. repeat using a discount rate of 12 percent. what can you conclude from this exercise?
Answers: 3
image
Business, 22.06.2019 19:50, alexdziob01
Right medical introduced a new implant that carries a five-year warranty against manufacturer’s defects. based on industry experience with similar product introductions, warranty costs are expected to approximate 2% of sales. sales were $8 million and actual warranty expenditures were $42,750 for the first year of selling the product. what amount (if any) should right report as a liability at the end of the year?
Answers: 2
image
Business, 22.06.2019 20:00, wallsdeandre6927
Richard is one of the leading college basketball players in the state of florida. he also maintains a good academic record. looking at his talent and potential, furman university offers to bear the expenses for his college education.
Answers: 3
You know the right answer?
A newly formed firm must decide on a plant location. There are two alternatives under consideration:...

Questions in other subjects:

Konu
Chemistry, 28.06.2021 14:10
Konu
English, 28.06.2021 14:10
Konu
English, 28.06.2021 14:10
Konu
Physics, 28.06.2021 14:20