Question: The fixed and variable costs for three potential manufacturing plant sites for a rattan chair weaver are shown: Site Fixed Cost Per Year Variable Cost
The fixed and variable costs for three potential manufacturing plant sites for a rattan chair weaver are shown:
| Site | Fixed Cost Per Year | Variable Cost per Unit | ||
| 1 | $500 | $11.00 | ||
| 2 | $1,000 | $7.00 | ||
| 3 | $1,700 | $4.00 |
Part 2a) After rounding the numbers to the nearest whole number, site 1 is best below
units.
0, 125 OR 233
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