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Car Wash Intl. is considering four possible sites for its new operation in Houston area. In the past
three years, they had witnessed growth in demand for car washes from 2 thousand vehicles a year, to 6
thousand. With a purchase of new automated machine, they expect to wash 10,000 vehicles. Based on
the information provided below, use break even analysis (15 points), plot break-even graph with breakeven
points (15 points), and recommend best location for different range of demands for vehicle
cleaning (5 points).
Location Fixed Cost( $) Variable Cost ($)
Pearland (A) 350,000 5
Sugarland (B) 170,000 25
Woodland © 100,000 40
Katy (D) 250,000 20
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