A Manufacturer of Paint Has Two Factories Located in France

Essay

A manufacturer of paint has two factories located in France and Spain and due to economic conditions must close one of them. The factory productivity data is as follows:
$$\begin{array} { c c c } & \begin{array} { c } \text { Gallons of Paint } \\ \underline{\text { Produced in } 1,000s}\text { ) }\end{array} & \begin{array} { l } \text { Resource Cost } \\ \underline{\text { per Gallon }}\end{array} \\ \text { Factory France) } & 4,600 & \$ 4.25 \\ \text { Factory Spain) } & 3,900 & \$ 4.00 \\\end{array}$$