Question: You are responsible for selecting a new location for a plant that manufactures car tires. You have four cities to consider: Boston, Chicago, Detroit, and

You are responsible for selecting a new location for a plant that manufactures car tires. You have four cities to consider: Boston, Chicago, Detroit, and Tampa. You do some research and find the fixed and variable costs associated with each location.

You are responsible for selecting a new location

A. Create a graph in Excel showing the total costs for each location, for a quantity produced between 0 and 200,000 units. Paste the graph into the Word document.

B. For what ranges of quantity of units produced is each city optimal? Note that some cities may not be optimal.

a. Boston: Between ____________ and _______________ units.

b. Chicago: Between ____________ and _______________ units.

c. Detroit: Between ____________ and _______________ units.

d. Tampa: Between ____________ and _______________ units.

Boston Chicago Detroit Tampa Fixed Cost $ 1,250,000.00 $ 3,000,000.00 $ 2,500,000.00 $ 3,500,000.00 Variable Cost $ 65.00 $ 78.00 $ 52.00 $ 55.00

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