Question: 1. The As-You-Like-It Hamburger Shop is considering adding a new location. The investment at each of the four potential sites is the same. Given the
1. The As-You-Like-It Hamburger Shop is considering adding a new location. The investment at each of the four potential sites is the same.
Given the information below, which site is expected to be the least cost site?
Factor Site A Site B Site C Site D
Fixed Cost $10,000 $8,000 $6,000 $11,000
Variable Cost per Unit $0.70 $0.75 $0.85 $0.65
Forecast Volume (Units) is 20,000
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