Calculate total variable cost, total fixed cost, and total cost.

Question 2 (10 points): One company is evaluating two candidate locations in China for a new facility, which is scheduled to produce 5,000 units per year, with the following information. Assume both the initial investment and government incentives are just one time. Consider for a two-year period, which location should be chosen? Work on worksheet Q2 to answer the question. Variable Cost Annual Overhead Initial Investment Government Incentives Xi'an Shenyang $100 $95 $210,000 $190,000 $17,500,000 $16,800,000 $2,500,000 $1,000,000