In determining the number of facility locations,the lowest total cost is typically:
A)Not the lowest cost of either transportation or inventory.
B)The lowest cost of either transportation or inventory.
C)Not related to transportation or inventory.
D)Difficult to generalize.

Question

Quizplus · Accepted Answer

The lowest total cost in determining the number of facility locations typically involves a trade-off between transportation costs and inventory costs, rather than being the lowest cost of either category alone.

In Determining the Number of Facility Locations,the Lowest Total Cost