Omaha fixed cost 12millions variable cost per unit of 36, Operation Management

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Omaha fixed cost 12millions variable cost per unit of 36

A newly formed firm must decide on a plant location. There are two alternatives under consideration:

Omaha: fixed cost $1.2millions, variable cost per unit of $36 Kansas City: fixed cost 1.4millions, variable cost per unit of $20 Suppose demand is 10,000 units.

If the firm selects the optimal choice, what is the total cost that the firm incurs?

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Operation Management: Omaha fixed cost 12millions variable cost per unit of 36

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Operation Management: Omaha fixed cost 12millions variable cost per unit of 36

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