Which of the Following Is Not a Location Option That

question 15

Multiple Choice

Which of the following is not a location option that management can consider in location planning?

• A)expand an existing facility
• B)add a new location
• C)relocate from one location to another
• D)do nothing
• E)All are possible options.

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Definitions:

Accounting Profits

The net income for a company calculated by subtracting total expenses from total revenues, according to standard accounting practices.

Cost Per Unit

The amount of financial expense associated with producing a single unit of a product or service.

Production

The process of creating goods and services through the combination of labor, capital, and resources.

Economic Profit

A measure of profit that includes recognition of implicit costs (like the cost of equity capital). Economic profit measures the true profitability of decisions.