The following table gives the map coordinates and the shipping loads for a set of cities that we wish to connect through a central hub. Show Calculation
City
MAP Coordinates (X,Y)
Shipping Load
A
(5, 10)
10
B
(6, 8)
20
C
(4, 9)
25
D
(9, 5)
10
E
(8, 10)
20
1) Near which map coordinates (in two decimal places) should the hub locate?
2) if the shipments from city A triple, how does this change the coordinates?
4. Hyundai Motors is considering three sites – A, B, and C – at which to locate a factory to build its new-model automobile, the HD C150. The goal is to locate at a minimum-cost site, where cost is measured by the annual fixed plus variable costs of production. Hyundai Motors has gathered the following data:
Site
Fixed Cost
Variable Cost per Auto Produced
A
$10,000,000
$2,500
B
$15,000,000
$1,500
C
$20,000000
$1,000
1) For what values of volume, V, of production, if any, is site C a recommended site?
2) What volume indicates site A is optimal?
3) Over what range of volume is site B optimal? Why?