Answer and Explanation:
The computation of the total cost under each locations is as follows:
The total cost of Memhpis is
= $40,000 + (10,000 units × $8) + $50,000
= $40,000 + $80,000 + $50,000
= $170,000
The total cost of Biloxi is
= $60,000 + (10,000 units × $4) + $60,000
= $60,000 + $40,000 + $60,000
= $160,000
And, the total cost of Birmingham is
= $100,000 + (10,000 units × $5) + $25,000
= $100,000 + $50,000 + $25,000
= $175,000
