Cool Wipes

Northwest Chicago (Transportation cost)

6.32

Total Variable Cost(transportation cost+variable cost of production i.e. 10)

Location Demand

16.32

Northwest 500000

Northwest Chicago

500000

Total Cost for Wipes

Location Demand

Northwest 50000

Northwest Chicago

6.32

Total Variable Cost(transportation cost+variable cost of production i.e. 20)

26.32

Northwest Chicago

50000

Total cost for ointment

Annual cost of serving the entire nation from Chicago

$87,961,400.00

CoolWipes Total variable cost for wipes Upper Midwest

Southwest

Lower Midwest

Northeast Southwest

6.32

3.68

4.04

5.76

5.96

16.32

13.68

14.04

15.76

15.96

Demand of wipes at Different Location Upper Lower Midwest Midwest Northeast Southwest Southwest 700000 900000 800000 1000000 600000

Wipes Variable

Southwest 700000

Upper Midwest

Lower Fixed Variable Midwest Northeast Southwest Capacity cost cost 10 900000 800000 1000000 600000 5000000 5000000

$73,464,000.00

Demand of ointment at different location Upper Midwest

Southwest 90000

Lower Midwest Northeast Southwest 120000 65000 120000 70000

Total Varaible cost for ointment

Upper Midwest

Southwest 6.32

26.32

Lower Midwest Northeast Southwest 3.68 4.04 5.76 5.96

23.68

24.04

25.76

25.96

Ointment Variable Upper Midwest

Southwest 90000

$14,497,400.00

Lower Midwest 120000

65000

Northeast Southwest Capacity 120000

70000

1000000

Fixed cost 1500000

Variable cost 20