Table B: Chase production plan Моnth Demand Production Plan # Workers # Workers Hired # Workers Fired Forecast 5700 Needed August September 4500 October 7500 November 5500 December 6900 January 4300

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
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Complete the Table B on the following page to create the aggregate plan based on the chase production strategy including hiring and firing to meet demand exactly

Cost Element
Cost
Month
Demand
Regular production cost
Overtime labor cost
$13 per hour
Forecast(units)
5600
$20 per
hour
August
September
4500
Holding cost per
$6 per unit
Period
October
7500
Back-order cost per
$10 per unit
November
5500
Period
December
6900
Hiring cost
Firing cost
$600 per employee
$300 per employee
January
4200
Capacity Element
Beginning workforce
Beginning inventory
Labor required per unit
Regular time available per employee
Overtime available per employee
Data
220 employee
350 units
5 hours
150 hours per month
25 hours
per
month
Transcribed Image Text:Cost Element Cost Month Demand Regular production cost Overtime labor cost $13 per hour Forecast(units) 5600 $20 per hour August September 4500 Holding cost per $6 per unit Period October 7500 Back-order cost per $10 per unit November 5500 Period December 6900 Hiring cost Firing cost $600 per employee $300 per employee January 4200 Capacity Element Beginning workforce Beginning inventory Labor required per unit Regular time available per employee Overtime available per employee Data 220 employee 350 units 5 hours 150 hours per month 25 hours per month
Table B: Chase production plan
Month
Demand
Production Plan
# Workers
# Workers Hired
# Workers Fired
Forecast
Needed
August
5700
September
4500
October
7500
November
3300
December
6900
January
4300
Transcribed Image Text:Table B: Chase production plan Month Demand Production Plan # Workers # Workers Hired # Workers Fired Forecast Needed August 5700 September 4500 October 7500 November 3300 December 6900 January 4300
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