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Can a low-cost plant win a distant city?
The prompt
Plant A (fictional) has a cash cost of USD 45 per tonne at the gate. Plant B, owned by a rival, has a cash cost of USD 52 but sits 20 kilometres from City Two, which is 350 kilometres from Plant A. Road freight costs about USD 0.10 per tonne per kilometre. Which plant has the lower delivered cost to City Two, and by how much? All figures are illustrative.
Your interviewer will share data as you ask for it. Ask clarifying questions, state a hypothesis, then lay out your structure out loud before you calculate.
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