Question: firm is considering two location alternatives. At location A , F . C would be $ 4 , 0 0 0 , 0 0 0

firm is considering two location alternatives. At location A, F.C would be $4,000,000 per year, and v.C 0.30 per unit. At alternative B, F.C would be $3,600,000 per year, with v.C of $0.35 per unit. If demand is expected to be 10 million units, which plant offers the lowest total cost?
a. Plant A, because it is cheaper than Plant B for all volumes
b. Plant A, because it is cheaper than Plant B for all volumes under 8,000,000 units
c. Plant B, because it is cheaper than Plant A for all volumes over 8,000,000 units
d. Plant B, because it has the lower variable cost per unit
firm is considering two location alternatives. At location A, F.C would

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