A Location Analysis Has Been Narrowed Down to Two Locations

question 44

Multiple Choice

A location analysis has been narrowed down to two locations, A and B. The main factors in the decision will be supply of raw materials, which has a weight of 50, and labor cost, which has a weight of 50. The ratings for raw materials and labor are: for A, 3 and 4, respectively; for B, 5 and 3, respectively. Using the factor rating method, the manager should ______________________.

• A) be indifferent between these locations
• B) choose location A
• C) choose location B
• D) reject both locations
• E) determine the capacity before deciding

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Definitions:

Dividend Income

Income received from owning shares in a company, typically paid out from the company's profits.

Dividend Per Share

The amount of dividend a company pays out to each shareholder for each share they own.

Retained Earnings

The portion of a company's profit that is held back and not paid out as dividends, used for reinvestment in the business or debt repayment.

Stock Split

A corporate action that increases the number of shares in a company by issuing more shares to current shareholders proportional to their ownership.