Question: URGENT There are three candidate cities for a new facility to be opened. Fixed Costs and variable costs are seen in TABLE-1 for each candidate

URGENT There are three candidate cities for a new

URGENT

There are three candidate cities for a new facility to be opened. Fixed Costs and variable costs are seen in TABLE-1 for each candidate city. TABLE-1 TABLE-2 Candidate Fixed Costs Variable Costs Candidate Manpower Energy Transport Raw Material Cities (S) (S/ton) Cities % 40) (%25) l%20) %15) Izmir 50.000 80 Izmir 75 80 90 70 Bursa 150.000 30 Bursa 80 70 60 80 Eskiehir 200.000 10 Eskiehir 90 70 80 85 a. Show the cost lines drawing the break-even graphic and determine the intervals which one is better for each alternative city (10 points). b. Which city should be selected for 4285 ton production (5 points) c. Which alternative should be selected according to Factor Rating Method using TABLE-2. (Neglect the costs) (10 points)

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