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The center of gravity method is useful in location planning for the location of a distribution center.

A) True
B) False

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The first step in developing location alternatives is identifying important factors.

A) True
B) False

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For what range of output would you prefer site C?

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What would the total annual costs be for the Phoenix location with an annual output of 10,000 units?


A) $280,000
B) $140,000
C) $220,000
D) $300,000
E) $156,000

F) A) and B)
G) A) and C)

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Software systems known as GIS help in location analysis.The initials GIS stand for _______.


A) Graphic Interface Systems
B) Global Integrated Software
C) Graded Information Systems
D) Geo Intensive Software
E) Geographical Information System

F) B) and D)
G) None of the above

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Cultural differences, Customer preferences, Labor and Resources are factors relating to:


A) Regional choices
B) Site selection
C) Zoning
D) Product design
E) Foreign locations

F) C) and D)
G) A) and B)

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Location decisions are basically one-time decisions usually made by new organizations.

A) True
B) False

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For what range of output would you prefer site B?

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Which site would you prefer for a quantity of 20,000 units per year?

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What would be total annual costs for either location at the point of indifference?


A) $13,000
B) $13,350
C) $9,000
D) $17,000
E) $19,200

F) B) and E)
G) All of the above

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Weekly shipments to each warehouse will be: WH1, 100; WH2, 150; WH3, 120; WH4, 150; and WH5, 120.What is the optimal location of the distribution center?


A) 5.1, 4.2
B) 5.2, 4.0
C) 5.1, 5.1
D) 4.2, 5.1
E) 4.9, 5.2

F) None of the above
G) A) and C)

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Location choice I has monthly fixed costs of $100,000 and per-unit variable costs of $10.What would its total cost be at a monthly volume of 550 units?


A) $105,200
B) $102,500
C) $100,250
D) $100,520
E) $105,500

F) D) and E)
G) A) and B)

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What would be the total annual costs at the point of indifference?


A) $300,000
B) $240,000
C) $380,000
D) $220,000
E) $760,000

F) A) and D)
G) A) and C)

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Given the information below on scores of three location alternatives, which alternative would you recommend? Why? A.

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blured image Composite scores ar...

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Global Positioning Systems (GPS) use the Center of Gravity method to establish starting grid co-ordinates.

A) True
B) False

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Factor rating is limited to quantitative information concerning location decisions.

A) True
B) False

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What are total costs for site B for a quantity of 5,000 units per year?

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For what range of output would you prefer site A?

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What is the composite score for location B?


A) 76
B) 75
C) 78
D) 74
E) 76.33

F) A) and E)
G) A) and D)

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What are total costs for site A for a quantity of 5,000 units per year?

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