Question: Two location have been identified as suitable locations for a new factory. The fixed and variable costs for each location are shown in the following

Two location have been identified as suitable

Two location have been identified as suitable locations for a new factory. The fixed and variable costs for each location are shown in the following table. Location Annual Fixed Cost Unit Variable Cost $300,000 $500 B $900,000 $350 At an annual build quantity of 3,000, which location would offer the lowest annual cost? Both locations have equal annual costs O Location A O Location B

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