Question: 8) A firm is considering two location alternatives. At location A fixed costs would be $4,000,000 per year, and variable costs $0.30 per unit. At

8) A firm is considering two location
8) A firm is considering two location alternatives. At location A fixed costs would be $4,000,000 per year, and variable costs $0.30 per unit. At alternative B, fixed costs would be $3,600,000 per year, with variable costs of $0.35 per unit If annual demand is expected to be 10 million units, which plant offers the lowest total cost? O a Plant A because it is cheaper than Plant B for all volumes over 8,000,000 units. Ob Plant B, because it is cheaper than Plant A for all volumes over 1,000,000 units. OC Plant B, because it has the lower variable cost per unit Od Plant A because it is cheaper than Plant B for all volumes

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