A Certain Organization Trying to Decide Where to Locate Their $\quad$

question 27

Multiple Choice

A certain organization trying to decide where to locate their future factory is considering three locations.They are taking into account three factors: labor costs,currency stability,and proximity to market.Using the weights for each factor listed below and the scores achieved by each of the three considered locations,determine which location should be chosen for the new facility based on the weighted factory location model.? $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { SCORES (Maximum 100) }$
$\begin{array}{lcccc} \text { FACTOR } & \text { WEIGHT } & \text { SITE A } & \text { SITE B } & \text { SITE C } \\\text { Labor Cost } & 0.20 & 90 & 65 & 90 \\\text { Currency Stability } & 0.50 & 80 & 90 & 80 \\\text { Proximity to Market } & 0.30 & 80 & 80 & 80\end{array}$

• A)Site A
• B)Site B
• C)Site C
• D)All sites are equally attractive

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Definitions:

Money Supply Curve

A graphical representation of the relationship between the money supply and the interest rate in an economy.

Excess Supply

A situation where the quantity of a good or service supplied is more than the quantity demanded at the current price.

Interest Rate

The amount charged, expressed as a percentage of principal, by a lender to a borrower for the use of assets over a specific period of time.

Gross Domestic Product

The monetary value of all finished goods and services made within a country during a specific period.