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- A small producer of machine tools wants to move to a larger building, and has identified two alternatives.Location A has annual fixed costs of $700,000 and variable costs of $13,000 per unit; locationB has annual fixed costs of $820,000 and variable costs of $13,000 per unit. The finished items sellfor $17,000 each.a. At what volume of output would the two locations have the same total cost?b. For what range of output would location A be superior? For what range would B be superior?Which of the following explain the need for facility location selection?(a) When the existing business unit has outgrown its original facilities and expansion is not possible.(b) When a business is newly started.(c) When the lease expires and the landlord does not renew the lease.(d) All of theseWhich Factors affecting location decisions?
- What would be the important location factors that McDonald’s might consider before opening a new restaurant?The following table shows the fixed cost and variable cost for 3 locations. Construct cost curves for these 3 locations for production from 0 to 200 units at 20 units intervals. What would be the range of production units that would give Location A a competitive advantage? What would be the range for Location B and Location C, respectively?A small producer of machine tools wants to move to a larger building, and has identified two alternatives. Location A has annual fixed costs of $800,000 and variable costs of $14,000 per unit; location B has annual fixed costs of $920,000 and variable costs of $13,000 per unit. The finished items sell for $17,000 each.a. At what volume of output would the two locations have the same total cost?b. For what range of output would location A be superior? For what range would B be superior?
- Location A would result in annual fixed costs of $300,000 and variable costs of $55 per unit. Annual fixed costs at Location B are $600,000 with variable costs of $32 per unit. Sales volume is estimated to be 30,000 units per year. Which location has the lower cost at this volume? How large is its cost advantage? At what volume are the two facilities equal in cost?William Green, vice president of manufacturing for computer products (CPC), and his staff are studying three midwestern alternative locations for a new production facility for producing high-resolution scanners. His staff analysts predict that the scanners will be a growing market over the next ten years, and the analyst's group shares marketing's enthusiasm for planning facilities for producing this new product line. The analysts have developed these estimates for the three locations; In what range of production volume would each of the locations be preferred (at the minimum cost)? Variable cost locations Annual Fixed costs per scanner Cleveland, Ohio $390,000 $34 South Bend, Indiana $360,000 $37 Grand Rapids, Michigan $310,000 $40A company desires to locate a new facility. Based on preliminary analysis, thechoice has been reduced to four locations: A, B, C, and D. These four locationswere rated on a scale from 1 worst to 10 best on each of four criteria. Eachcriterion was also weighted to indicate its importance (i.e., the higher theweight, the more important). The list of ratings and weights follows THE TABLE ATTACHED b- If the wights of weather and regulation be divided that the weatherwould be double of the regulations, what would be the best location. Please can you give me an answer with explanation.
- Consider you are an owner of one IT organization with 200 employees and you want to keep track of the location information of each employee. You know that none of the employees will go out from the city and the radius of the city is 50 km. What kind of location measure technique will be appropriate for you to keep rack of continuous location information? Explain with proper justification. Also, show how your chosen location measurement is better than the other ones.The owner of a food truck implemented a new location strategy so that they would be better positioned near a crowded office park during the lunch hour. How should they evaluate the new location strategy?Consider you are an owner of one IT organization with 200 employees and youwant to keep track of the location information of each employee. You know thatnone of the employees will go out from the city and the radius of the city is 50 km.What kind of location measure technique will be appropriate for you to keep trackcontinuous location information?