The crossover graph below is taken from Heizer & Render MSOM and shows total operations costs for a company choosing between 3 different locations for a new distribution center. Which of following is true? Figure 8.2 $180,000 $160,000 $150,000 $130,000 Lisbon cost curve $110,000 cost Annual Brussels cost curve G $80,000 $60,000 Athens cost curve $30,000 Athens lowest cost Brussels lowest cost Lisbon lowest cost $10,000 0 500 1,000 2,500 3,000 1,500 2,000 Volume 2014 Pearson Education, Inc. 8-30 The company should choose Athens at a volume of 2 1000 units because it has the lowest fixed and variable costs. The company should never choose to locate in Lisbon. The company should choose Athens at every volume because it has the lowest fixed cost. The company should never choose between Athens and Lisbon even though they intersect, because it is more expensive than Brussels at the point of intersection. The crossover graph below is taken from Heizer & Render MSOM and shows total operations costs for a company choosing between 3 different locations for a new distribution center. Which of following is true? Figure 8.2 $180,000 $160,000 $150,000 $130,000 Lisbon cost curve $110,000 cost Annual Brussels cost curve G $80,000 $60,000 Athens cost curve $30,000 Athens lowest cost Brussels lowest cost Lisbon lowest cost $10,000 0 500 1,000 2,500 3,000 1,500 2,000 Volume 2014 Pearson Education, Inc. 8-30 The company should choose Athens at a volume of 2 1000 units because it has the lowest fixed and variable costs. The company should never choose to locate in Lisbon. The company should choose Athens at every volume because it has the lowest fixed cost. The company should never choose between Athens and Lisbon even though they intersect, because it is more expensive than Brussels at the point of inter