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AYB321 Strategic Management Accounting Tutorial Questions TUTORIAL 9 SUSTAINABILITY Debate Question: Rockhampton Sofa Company is thinking of setting...
Debate:
Rockhampton Sofa Company is thinking of setting up a plant in Chengdu, China. Operating data for Rockhampton and Chengdu are as follows:
If the Chengdu plant is opened, then the Rockhampton plant will be closed. If theRockhampton plant is closed the employees will almost certainly be unemployed. Thereis consternation in the local community about the closure, especially among olderemployees. The Rockhampton plant has few airborne pollutants and does notcontaminate waterways and sewers.The affirmative view: You believe that it is more beneficial to the overallcompany to move the plant to Chengdu due to theadvantages associated with the move. Therefore discussthe benefits of moving operations to Chengdu. In doing so,address the financial, social and economic benefits.The negative view: You believe that it is more beneficia
