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Cool Air, a manufacturer of automotive air conditioners, currently produces its XB-300 line at three different locations: Plant A, Plant B, and Plant C. Recently management decided to build all compressors, a major product component, in a separate dedicated facility, Plant D.
Using the centroid method (COG) and the information provided below, determine a location for plant D. Assume a linear relationship between volumes shipped and shipping costs.
Plant Coordinate Volume
Plant A (150, 75) 6000
Plant B (100, 300) 8200
Plant C (275, 380) 7000
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