#4

4) ExtremeX is evaluating three locations for a second headquarters. Costs for construction at location A are $12,800,000, Location B are $11,500,000 and Location C are $10,100,000. Variable costs for each unit produced at Location A are $11, Location Bare $12 and Location Care $14. The company plans to sell each product for $33. a. What is the break-even point for each location? (30 pts) b. Create a cost-volume graph that shows cost lines for all three options through 2,000,000 units. (45 pts) c. What is the optimal location strategy for Extremex, identify volumes and locations? (15 pts)