Business, 18.04.2020 02:43 mikurrjurdan

Peter Billington Stereo, Inc., supplies car radios to auto manufacturers and is going to open a new plant. The company is undecided between Detroit and Dallas as the site. The fixed costs in Dallas are lower due to cheaper land costs, but the variable costs in Dallas are higher because shipping distances would increase. Dallas Detroit Fixed costs $ 560 comma 000 $ 780 comma 000 Variable costs $ 30/radio $ 22/radio

a) Based on the analysis of the volume, after rounding the numbers to the nearest whole number, Dallas is best below and Detroit is best above ▼ radios.
b) Dallas's fixed costs have increased by 10%. Based on the analysis of the volume, after rounding the numbers to the nearest whole number, Dallas is best below and Detroit is best above ▼ 27,500 7,000 24,600 76,996 20,500 radios.

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Peter Billington Stereo, Inc., supplies car radios to auto manufacturers and is going to open a new...

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