Question: Using the following factor ratings, determine which location alternative ( X , Y , or Z ) should be chosen on the basis of maximum
Using the following factor ratings, determine which location alternative X Y or Z should be chosen on the basis of maximum composite score.
Location Score
Factor
Weight
X
Y
Z
Convenience
Parking facilities
Display area
Shopper traffic
Operating costs
Neighborhood
Rent and equipment costs all fixed costs would be $ per month for Location A $ for location B and $ for Location C
Required :
a Determine the volume Q necessary for each location to realize a monthly profit of $ Rounded to the nearest whole number.
b If expected sales in units at A B and C are per month, per month, and units per month, respectively, which location would yield the highest profits.
Hint: You would need to compute the profit for each location first before you selected the best location.
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