Long description

 

To Distribution Centers

 

 

From Plants

Los Angeles

New York

Normal Production

Unit Production Cost ($)

Atlanta

$8

$5

600

6

Tulsa

$4

$7

900

5

New Orleans

$5

$6

500

4 (anticipated)

Houston

$4

$6

500

3 (anticipated)

Forecast Demand

$800

1,200

2,000

 

The table shows the following comments.

Atlants and Tulsa are existing plants

New Orleans and Houston are proposed locations

A note agaist $6 in the Houston row and New York column reads "Indicates distribution cost (shipping, handling, storage) will be $6 per carrier if sent from Houston to New York"

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