A company is preparing an aggregate production plan for its product for the next four months. The company's expected monthly demand is given in the following table. The company will have 100 million in inventory at the beginning of this month and wishes to hold at least 100 Units at the end of each month. Important data is shown below: production cost per unit =$125 cost of inventory storage per month per unit =$10 cost of hiring per worker =$50 firing cost per worker =$100 initial number of workers =25 each worker can produce =25 units per month Month->expected demand: M1 ->600 M2->800 M3->700 M4->900 What is the total cost of a chase plan that uses only hiring/firing?
A company is preparing an aggregate production plan for its product for the next four months. The company's expected monthly demand is given in the following table. The company will have 100 million in inventory at the beginning of this month and wishes to hold at least 100 Units at the end of each month. Important data is shown below: production cost per unit =$125 cost of inventory storage per month per unit =$10 cost of hiring per worker =$50 firing cost per worker =$100 initial number of workers =25 each worker can produce =25 units per month Month->expected demand: M1 ->600 M2->800 M3->700 M4->900 What is the total cost of a chase plan that uses only hiring/firing?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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A company is preparing an aggregate production plan for its product for the next four months. The company's expected monthly demand is given in the following table. The company will have 100 million in inventory at the beginning of this month and wishes to hold at least 100 Units at the end of each month.
Important data is shown below:
production cost per unit =$125
cost of inventory storage per month per unit =$10
cost of hiring per worker =$50
firing cost per worker =$100
initial number of workers =25
each worker can produce =25 units per month
Month->expected demand:
M1 ->600
M2->800
M3->700
M4->900
What is the total cost of a chase plan that uses only hiring/firing?
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