The S&OP team at Kansas Furniture, has received the following estimates of demand requirements: July 1,800 July Aug. Sept. Oct. Nov. Dec. Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per unit per month, and 100 unit beginning inventory at the beginning of July. Create an aggregate plan that would produce at a steady rate of 1,300 units per month and subcontract additional units at a $60 per unit premium cost. What is the cost of this plan? Total Aug. Sept. Oct. 1,200 1,400 Demand 1800 1200 1400 1800 1000 1600 Regular Time Production Cost = Subcontract Cost = Nov. 1,800 1,000 Inventory Cost = Total Cost = Beginning Inventory Dec. 1,600 Regular Time Production Subcontract Ending Inventory
The S&OP team at Kansas Furniture, has received the following estimates of demand requirements: July 1,800 July Aug. Sept. Oct. Nov. Dec. Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per unit per month, and 100 unit beginning inventory at the beginning of July. Create an aggregate plan that would produce at a steady rate of 1,300 units per month and subcontract additional units at a $60 per unit premium cost. What is the cost of this plan? Total Aug. Sept. Oct. 1,200 1,400 Demand 1800 1200 1400 1800 1000 1600 Regular Time Production Cost = Subcontract Cost = Nov. 1,800 1,000 Inventory Cost = Total Cost = Beginning Inventory Dec. 1,600 Regular Time Production Subcontract Ending Inventory
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Topic Video
Question
![3
E
20
F3
3. The S&OP team at Kansas Furniture, has received the following estimates of demand
requirements:
July
1,800
July
4
Aug.
Sept.
Oct.
Nov.
Dec.
$
Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per
unit per month, and 100 unit beginning inventory at the beginning of July. Create an
aggregate plan that would produce at a steady rate of 1,300 units per month and
subcontract additional units at a $60 per unit premium cost. What is the cost of this plan?
Total
R
Aug.
Sept. Oct.
Nov.
1,200 1,400 1,800 1,000
Demand
1800
1200
1400
1800
1000
1600
Regular Time Production Cost =
Subcontract Cost =
Inventory Cost =
2 / 3
Total Cost =
DOD
000
F4
do L
%
5
F5
T
100%
Beginning
Inventory
1
6
F6
+
Y
&
7
Regular
Time
Production Subcontract
Dec.
1,600
JA
F7
U
*
8
F8
Ending
Inventory
(
9
F9
с
)
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe23436e2-3710-4584-9afd-a6782603d0bb%2F18249948-154b-4677-bd9d-47dd477410b8%2F779ggj_processed.jpeg&w=3840&q=75)
Transcribed Image Text:3
E
20
F3
3. The S&OP team at Kansas Furniture, has received the following estimates of demand
requirements:
July
1,800
July
4
Aug.
Sept.
Oct.
Nov.
Dec.
$
Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per
unit per month, and 100 unit beginning inventory at the beginning of July. Create an
aggregate plan that would produce at a steady rate of 1,300 units per month and
subcontract additional units at a $60 per unit premium cost. What is the cost of this plan?
Total
R
Aug.
Sept. Oct.
Nov.
1,200 1,400 1,800 1,000
Demand
1800
1200
1400
1800
1000
1600
Regular Time Production Cost =
Subcontract Cost =
Inventory Cost =
2 / 3
Total Cost =
DOD
000
F4
do L
%
5
F5
T
100%
Beginning
Inventory
1
6
F6
+
Y
&
7
Regular
Time
Production Subcontract
Dec.
1,600
JA
F7
U
*
8
F8
Ending
Inventory
(
9
F9
с
)
0
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