Question: Annual fixed costs ($ millions) Variable cost per unit Expected annual demand (units) Near Raw Materials $1.10 Near Customers $1.25 $ 39 8,900 $
Annual fixed costs ($ millions) Variable cost per unit Expected annual demand (units) Near Raw Materials $1.10 Near Customers $1.25 $ 39 8,900 $ 46 13,000 1. Using the above given information, determine the profits for each alternative. (Negative answers should be indicated by a minus sign.) Near raw materials Near customers $ $ 2. Which location would produce greater profit? O Near raw materials O Near customers
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