Question: The fixed and variable costs for three potential manufacturing plant sites are as follows: Site Fixed cost Variable cost 500 11 2 1,000 7 3

The fixed and variable costs for three potential manufacturing plant sites are as follows: Site Fixed cost Variable cost 500 11 2 1,000 7 3 1,700 4 a) Over what range of production is each location optimal? (7 points) b) For a production of 200 units, which site is best? (3 points)

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