What are the efficiency savings of the proposed layout

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Table EX 5.4 shows the current and proposed layouts for a group practice. The cost of travel per 1,000 feet is estimated to be $ 4. Moving departments costs $ 17,500 each.

a. What are the efficiency savings of the proposed layout?

b. What is the cost of the proposed layout?

c. In how many years can the cost of the new layout be recovered?

Reference no: EM131162397

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