Required:Find the Minimum Cost Production Plan by Creating a Spreadsheet in Excel. Use Solver to find the Minimum CostSolution. Leave a copy of your Spreadsheet in the DropBox.Total Cost Month 1-,5590)Total Cost Month 2 =,5470)Total Cost Month 3 =Total Cost Month 4 =Total Cost Month 5=,5420)Total Cost Month 6-AAVAAATotal Cost All Periods40180)Answer Format: No Dollar ($) signs or commas- Answers should be whole numbers.Hint: Range (5470Hint: Range (5350Hint: Range (5320Hint: Range (38480 Given the projected demands for the next six months, prepare an aggregate plan that uses inventory, regular time,overtime, subcontract and backorders. Regular time is limited to 150 units per month (Cost per Unit-$30). Overtimeis limited to a maximum of 20 units per month (Cost per Unit-$45). Units purchased from the subcontractor (Cost perUnit = $54) cannot exceed 70 per month and the total purchases from the subcontractor over the 6 month periodcannot be over 220 units. Backorders cannot exceed 60 units in any given month (Cost per Unit - $5) and must be nomore than 10 in Period 6. Average Inventory Holding cost per Unit = $10. Forecasted Demand as well as Beginningand desired Ending Inventory are listed in the table below.Regular OutputOvertime OutputSubcontractBeginning InventoryMonthTotal Available for SaleLess ForecastPlus Backlog-Current PeriodLess Backlog-PreviousPeriodEnding InventoryAverage Inventory201901170232701804160190106TotalRequired:Find the Minimum Cost Production Plan by Creating a Spreadsheet in Excel. Use Solver to find the Minimum CostSolution. Leave a copy of your Spreadsheet in the DropBox.Acti

Regular time cost per unit = $30Overtime cost per unit = $45Subcontract cost per unit = $54Backorder…

Answered: Given the projected demands for the…

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...

See similar textbooks

Similar questions

Find MPS start as well
Opertion Management No handwritten solution. Maitain quality and accuracy in your answer
Jet skis and snowmobiles are assembled by Mobile Incorporated. Because both end - items use the same small engine, you can aggregate demand for the engine assembly. Develop an aggregate plan that uses a level production strategy each quarter and the information that follows. What is the total cost? Assume lost sales are backordered and filled during the next quarter. Summarize the plan, its costs, and consequences using manual computations. Initial Inventory Level = 1,000 units Regular Time = $15 Lost Sales Cost/Unit = $24 Inventory Carry Cost per unit = $3 Quarter One Two Three Four Total Beginning Inventory Jet Ski Engine 10, 000 15,000 16,000 3,000 44,000 600 Snowmobile Engine 9,000 7,000 19,000 10,000 45,000 400 Total Engines 19,000 22,000 35,000 13,000 89, 000 1,000 Average Demand Rate/Quarter 22, 000 Units Regular Time Production Rate 22,000 Units
A company manufactures two wheeler passengers’ helmets. The initial stock on hand is 5000 units. The carrying cost is Rs. 2 per helmet per week and the lead time is two weeks. The ordering cost per order is Rs. 5000. The MPS of the final requirements is shown below. Develop a Material Requirement Plan (MRP I) by using EOQ method and determine the total inventory cost for the same. Week 1 2 3 4 5 6 7 8 Projected requirements 10000 8000 15000 7000 16000 5000 15000 11000
I completed those steps and it is saying my answer is incorrect
How does Material Requirement Planning help organizations balance inventory carrying costs with the risk of stockouts and production delays?
Costco also employs a just-in-time inventory management system, which includes sharing data directly with many of its largest suppliers. Companies like Kimberly-Clark calculate re-order points in real time and send new inventory, as needed, to replenish store shelves. Costco also works to redesign product packaging to squeeze more bulky goods onto trucks and shelves, reducing the number of orders Costco needs to place with suppliers.Occasionally, the company leverages its 75 million square feet of warehouse space to reduce purchasing costs. For example, when Procter & Gamble recently announced a 6% price increase for its paper goods, Costco bought 258 truckloads of paper towels at the old rate and stored them using available capacity in its distribution centers and warehouses.These inventory management techniques have allowed Costco to succeed in tough times while others have failed. Costco turns its inventory nearly 12 times a year, far more often than other retailers. With many…
ABC COMPANY uses graphical techniques in its aggregate planning efforts. Over the next 12 months (its intermediate period), it estimates the sum of demands to be 300,000 units. The firm has 300 production days per year. In February, which has 20 production days, demand is estimated to be 20,000 units. A graph of demand versus level production will show that: O O level production is approximately 900 units per month. level production of 1000 units per day is above the February requirement. the firm must hire workers between January and June. the February requirement is equal level production of 1000 units. level production is approximately 800 units per day.
The president of Hill Enterprises, Terri Hill, projects the firm's aggregate demand requirements over the next 8 months as follows: January 1,400 May 2,100 February 1,700 June 2,100 March 1,600 July 1,700 April 1,900 August 1,500 Her operations manager is considering a new plan, which begins in January with 200 units of inventory on hand. Stockout cost of lost sales is $60 per unit. Inventory holding cost is $20 per unit per month. Ignore any idle-time costs. Evaluate the following plans D and E. Plan D: Keep the current workforce stable at producing 1,600 units per month. In addition to the regular production, another 20% of the normal production units can be produced in overtime at an additional cost of $50 per unit. A warehouse now constrains the maximum allowable inventory on hand to 600 units or less. Note: Do not produce in overtime if production or inventory are adequate to cover demand.…
The items listed in the following table are stored in a warehouse. ITEM WEEKLY TRIPS AREA NEEDED (BLOCKS) A 68 34 328 8 C 54 104 13 E 140 a) Which item should be stored at the very front (closest to the dock)? Fill in the table below for the ratios of the number of trips to blocks of storage area (enter your responses as whole numbers). ITEM TRIPS/BLOCKS A E V should be stored at the very front (closest to the dock). b) Which item should be stored at the very back (furthest from the dock)? V should be stored at the very back (furthest from the dock).

Recommended textbooks for you

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Business in Action

Operations Management

ISBN:

9780135198100

Author:

BOVEE

Publisher:

PEARSON CO

Purchasing and Supply Chain Management

Operations Management

ISBN:

9781285869681

Author:

Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:

Cengage Learning

Production and Operations Analysis, Seventh Editi…

Operations Management

ISBN:

9781478623069

Author:

Steven Nahmias, Tava Lennon Olsen

Publisher:

Waveland Press, Inc.

SEE MORE TEXTBOOKS