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C&A is considering whether to choose Lexington or Cincinnati to manufacture hand held computers that translate between two languages. Lexington has fixed costs of $20,000 per year and variable cost of $70 per computer. Cincinnati has fixed costs of $30,000 per year and variable costs of $50 per computer. C&A sells these computers at a price of $90 each. Which location will you recommend if demand for the computer is 600?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92292016

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