Cunningham products is evaluating five possible locations


Cunningham Products is evaluating five possible locations to build a distribution center. Data estimated rom the accounting department is estimated to be 30,000 units. For what range of demand would each location be best? Data Location 1 Location 2 Location 3 Location 4 Location 5 Fixed cost 75000.00 110000.00 95000.00 125000.00 110000.00 Direct Material cost/unit 4.14 4.65 5.05 4.50 4.50 Direct Labor cost/unit 12.45 13.80 11.80 15.60 13.75 Overhead/unit 2.25 2.60 1.95 2.75 2.10 Transportation cost/unit .50 .65 .30 .83 .67 For what range of demand would each location be best?

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