Using location break-even analysis, determine the ideal location for a distribution centre given the information in the table below. We will assume that the price will remain at $2000 for all locations and the quantity for all location is 15,000   Location Fixed cost per year $ Variable cost per year $ Transportation cost $ Location 1 600,000 200 200 Location 2 360,000 150 350 Location 3 900,000 300 100 Location 4 720,000 250 150

Using location break-even analysis, determine the ideal location for a distribution centre given the information in the table below. We will assume that the price will remain at $2000 for all locations and the quantity for all location is 15,000

 

Location

Fixed cost per year $

Variable cost per year $

Transportation cost $

Location 1

600,000

200

200

Location 2

360,000

150

350

Location 3

900,000

300

100

Location 4

720,000

250

150

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