Question: Annual Overhead $ 2 1 0 , 0 0 0 $ 1 9 0 , 0 0 0 Initial Investment $ 1 7 , 5

Annual Overhead $210,000 $190,000Initial Investment $17,500,000 $16,800,000Government Incentives $2,500,000 $1,000,000Production Volume/ yearTotal Variable Cost $1,000,000 $950,000Total Fixed Cost $420,000 $380,000Total Cost $16,420,000 $17,130,000Conclusion: Xi'an should be the chosen location since it is less

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