Note:-Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.Answer completely.You will get up vote for sure. b. Would the total cost be less with full regular production each period with no overtime, but using a subcontractor to handlethe excess above regular capacity at a cost of $53 per hundred bolts? Backlogs are not allowed. The inventory carrying costis $2 per hundred bolts. (Round your Average inventory values to 1 decimal place. Negative amounts should be indicatedby a minus sign. Leave no cells blank - be certain to enter "0" wherever required.)PeriodForecastOutputRegularSubcontractingInventoryBeginningEndingAverageCostRegularSubcontractingInventoryTotal27523002504300528062757270Total1,950 Manager Chris Channing of Fabric Mills, Inc., has developed the forecast shown in the table for bolts of cloth. The figures arein hundreds of bolts. The department has a regular output capacity of 275(00) bolts per month, except for the seventh month,when capacity will be 240(00) bolts. Regular output has a cost of $42 per hundred bolts. Workers can be assigned to otherjobs if production is less than regular. The beginning inventory is zero bolts.12275300MonthForecastPeriodForecastOutputRegularOvertimeOutput - ForecastCostRegularOvertimeTotal3250a. Develop a chase plan that matches the forecast and compute the total cost of your plan. Overtime is $68 per hundredbolts. Regular production can be less than regular capacity. (Negative amounts should be indicated by a minus sign. Leaveno cells blank be certain to enter "0" wherever required.)1300275252803003627525047270300Total1,950528062757270Total1,950

Regular output capacity in the months (1 to 6) = 275(00) bolts per monthRegular output capacity in…

b. Would the total cost be less with full regular production each period with no overtime, but using a subcontractor to har the excess above regular capacity at a cost of $53 per hundred bolts? Backlogs are not allowed. The inventory carrying c is $2 per hundred bolts. (Round your Average inventory values to 1 decimal place. Negative amounts should be indica by a minus sign. Leave no cells blank - be certain to enter "0" wherever required.) Period Forecast Output Regular Subcontracting Inventory Beginning Ending Average Cost Regular Subcontracting Inventory Total 275 2 300 250 300 5 280 6 275 7 270 Total 1,950

b. Would the total cost be less with full regular production each period with no overtime, but using a subcontractor to har the excess above regular capacity at a cost of $53 per hundred bolts? Backlogs are not allowed. The inventory carrying c is $2 per hundred bolts. (Round your Average inventory values to 1 decimal place. Negative amounts should be indica by a minus sign. Leave no cells blank - be certain to enter "0" wherever required.) Period Forecast Output Regular Subcontracting Inventory Beginning Ending Average Cost Regular Subcontracting Inventory Total 275 2 300 250 300 5 280 6 275 7 270 Total 1,950

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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