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Southeast Soda Pop, Inc., has a new fruit drink for which it has high hopes. John Mittenthal, the production planner, has assembled the following cost data and demand forecast: Click the icon to view the demand forecast. Click the icon to view the cost data. John's job is to develop an aggregate plan. The three initial options he wants to evaluate are: •Plan A: a strategy that hires and fires personnel as necessary to meet the forecast. Plan B: a level strategy. ⚫ Plan C: a level strategy that produces 1,000 cases per quarter and meets the forecast demand with inventory and subcontracting. a) Which strategy is the lowest-cost plan? Try hiring and layoffs (to meet the forecast) as necessary (enter your responses as whole numbers).

Southeast Soda Pop, Inc., has a new fruit drink for which it has high hopes. John Mittenthal, the production planner, has assembled the following cost data and demand forecast: Click the icon to view the demand forecast. Click the icon to view the cost data. John's job is to develop an aggregate plan. The three initial options he wants to evaluate are: •Plan A: a strategy that hires and fires personnel as necessary to meet the forecast. Plan B: a level strategy. ⚫ Plan C: a level strategy that produces 1,000 cases per quarter and meets the forecast demand with inventory and subcontracting. a) Which strategy is the lowest-cost plan? Try hiring and layoffs (to meet the forecast) as necessary (enter your responses as whole numbers).

Practical Management Science
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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cpmpute for 4 quarters pls

Southeast Soda Pop, Inc., has a new fruit drink for which it has high hopes. John Mittenthal, the production planner, has assembled the following cost data and demand forecast: Click the icon to view the demand forecast. Click the icon to view the cost data. John's job is to develop an aggregate plan. The three initial options he wants to evaluate are: • Plan A: a strategy that hires and fires personnel as necessary to meet the forecast. • Plan B: a level strategy. • Plan C: a level strategy that produces 1,000 cases per quarter and meets the forecast demand with inventory and subcontracting. a) Which strategy is the lowest-cost plan? Try hiring and layoffs (to meet the forecast) as necessary (enter your responses as whole numbers). More Info Costs/Other Data Hiring and Layoff Plan Quarter Forecast Production Hire (Units) Layoff (Units) 1,200 1 1,900 1,900 700 0 2 1,200 Previous quarter's output = 1,200 cases Beginning inventory = 0 cases Stockout cost of backorders = $160 per case Inventory holding cost = $40 per case at end of quarter Hiring employees = $35 per case Terminating employees = $70 per case Subcontracting cost = $65 per case Unit cost on regular time = $25 per case Overtime cost = $10 extra per case Capacity on regular time = 1,900 cases per quarter - More Info Quarter 1 Forecast 1,900 234 1,200 1,600 800 Print Done - Х
Transcribed Image Text:Southeast Soda Pop, Inc., has a new fruit drink for which it has high hopes. John Mittenthal, the production planner, has assembled the following cost data and demand forecast: Click the icon to view the demand forecast. Click the icon to view the cost data. John's job is to develop an aggregate plan. The three initial options he wants to evaluate are: • Plan A: a strategy that hires and fires personnel as necessary to meet the forecast. • Plan B: a level strategy. • Plan C: a level strategy that produces 1,000 cases per quarter and meets the forecast demand with inventory and subcontracting. a) Which strategy is the lowest-cost plan? Try hiring and layoffs (to meet the forecast) as necessary (enter your responses as whole numbers). More Info Costs/Other Data Hiring and Layoff Plan Quarter Forecast Production Hire (Units) Layoff (Units) 1,200 1 1,900 1,900 700 0 2 1,200 Previous quarter's output = 1,200 cases Beginning inventory = 0 cases Stockout cost of backorders = $160 per case Inventory holding cost = $40 per case at end of quarter Hiring employees = $35 per case Terminating employees = $70 per case Subcontracting cost = $65 per case Unit cost on regular time = $25 per case Overtime cost = $10 extra per case Capacity on regular time = 1,900 cases per quarter - More Info Quarter 1 Forecast 1,900 234 1,200 1,600 800 Print Done - Х
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