question archive Eagle Hunt company is planning to open a new plant
Eagle Hunt company is planning to open a new plant
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Eagle Hunt company is planning to open a new plant. They have collected information on fixed and variable costs for three potential plant locations.
Location
Annual Fixed Cost Unit Variable Cost
Detroit $500,000 $300
New Orleans $750,000 $200
San Bernardino $900,000 $100
Find the break-even points and determine the range of demand for which each location has a cost advantage. Please show the detailed procedures to get credit.
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