Question: Question An operations manager has narrowed down the search for a new plant for Tim! to three locations. Fixed and variable costs are as follow:

Question

An operations manager has narrowed down the search for a new plant for Tim! to three

locations. Fixed and variable costs are as follow:

Location Fixed Cost Variable Cost

A $100,000 $10

B $150,000 $7

C $200,000 $5

Use the information in the above table to address this question: for what range of output is each

location superior? Draw a graph (rough graph is acceptable) to highlight your calculations.

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