The firm knows it will produce between 0 and 60,000 units at the new plant each year, but, thus far,
that is the extent of its knowledge about production plans.
AFor what values of volume, V, of production, if any, is site C a recommended site?
BWhat volume indicates site A is optimal?
COver what range of volume is site B optimal? Why?
that is the extent of its knowledge about production plans.
AFor what values of volume, V, of production, if any, is site C a recommended site?
BWhat volume indicates site A is optimal?
COver what range of volume is site B optimal? Why?