Break even analysis localization | Free template
Break even analysis for localization is a free template for evaluating various location options by taking into account the fixed and variable costs for each option and select the one with the lowest total cost at the expected volume.
Break even analysis for localization is a method that involves making a zero-point analysis of different location alternatives. The alternative selected for a factory, warehouse, office or business depends on the expected volume and the lowest total cost at this volume.
In this template location alternatives can be evaluated both at total cost at the expected volume and graphically in a plot of total cost and volume. Break even analysis for location is an objective and quantitative method for choosing where to place the factory, warehouse, office or business geographically.
To do this analysis you must identify the fixed costs and variable costs for each alternative and use a selling price. The selling price may be the actual selling price or a flat-rate selling price set only for the comparison to be possible.
You can use this template to make an objective and quantitative comparison of geographical alternatives by using the method of break even analysis.
01/01/2015 | Created by All-templates.biz
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Tags: location decisions localization strategies optimal localization operations management