Question: QUESTION 2: /10 MARKS A distribution company is evaluating the three locations outlined below. Location A 45 Location B 80 Weight 0.30 0.15 0.20 Location

QUESTION 2: /10 MARKS A distribution company isQUESTION 2: /10 MARKS A distribution company is

QUESTION 2: /10 MARKS A distribution company is evaluating the three locations outlined below. Location A 45 Location B 80 Weight 0.30 0.15 0.20 Location C 65 45 80 Factor Initial Cost Proximity to suppliers Proximity to major customers Room for expansion Skilled labour availability 60 90 60 50 60 80 95 0.20 0.15 80 75 90 a) Perform the necessary analysis to determine which location should be chosen using the "factor rating" method. b) A friend sees you working on this question and says "This is so simple. Factor rating is obviously a very easy way for business to make a decision. A summer student could be given this task because the math is so easy." Based on our discussion in class about the complexities of the factor rating method approach, what will you tell your friend to help them realize that this is NOT just a matter of doing some simple multiplication and addition? QUESTION 3:_(10 marks) A friend approaches you because her business is making an important location decision. She is unsure about whether locational break even, factor rating, or centre of gravity should be the approach that she uses in her analysis. Using your knowledge of these tools, explain to your friend under what circumstances or situations each location decision approach is appropriate

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