Location Fixed Costs Variable Costs A $70,000 $1/unit B $34,000 $5/unit C $20,000 $8/unit $50,000 $4/unit
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A: THE ANSWER IS AS BELOW:
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Shoeless Joe is a specialty retailer that is deciding where to
locate a new facility. Th e annual fi xed and variable costs for each
possible site have been estimated as follows:
If demand is expected to be 2000 units, which location is best?
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- ! plz solved all parts for a likeKwame after his National Service and with no hope of securing a job in the formal sector has decided to run a taxi service. The following forecast has been made for the operation of a service between Abisim and Sunyani. i) Revenue totaling GH¢300 a week for 52 weeks in a year. This is net of fuel and other variable costs. ii) Tyres; four pieces for a year at GH¢120 per unit. iii) Maintenance and servicing; GH¢120 per month. iv) Salaries GH¢3,000 per year v) Insurance GH¢350 per year The net cash flow will increase at 5% per annum for the next five years due to inflation. The cost of the vehicle is estimated at GH¢28,000. The project appears quite profitable based on the NPV criteria using the Government policy rate of 26%. However the banks are offering rates far higher than the policy rate. Required: You are to calculate the break-even rate for the project.You are tasked to create a PESTEL analysis, competition, and positioning map of your starting bakery shop located in SM Fairview Philippines.