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21 15 A manufacturing company preparing to build a new plant is considering three potential locations for it. The fixed and v
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Answer #1

TC(A) = 2500000 + 21Q
TC(B) = 2000000 + 25Q
TC(C) = 3500000 + 15Q

7500000 7000000 6500000 6000000 — TC(A) = 2500000+ 210 -TC(B) = 2000000 + 250 TC(C)= 3500000 + 150 5500000 5000000 4500000 40

So,

From Q=0 to 125,000, 'B' is the best
From Q=125,000 to 166,667, 'A' is the best
Beyond 166,667, 'C' is the best.

So, only the Alternative-A is not true

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