# Question: A manager would like to know the total cost of

A manager would like to know the total cost of a chase strategy that matches the forecast below using a steady regular production rate of 200 units a month, a maximum of 20 units per month of overtime, and subcontracting as needed to make up any shortages. The unit costs are:

Regular production $ 35

Overtime $ 70

Subcontracting $80

Regular production $ 35

Overtime $ 70

Subcontracting $80

**View Solution:**## Answer to relevant Questions

Determine the total cost for this plan given the following forecast:Use steady regular output of 400 units per month, use overtime as needed for up to 40 units per month, and use subcontracting to make up any needed output ...Nowjuice, Inc., produces Shakewell ® fruit juice. A planner has developed an aggregate forecast for demand (in cases) for the next six months.Develop an aggregate plan using each of the following guidelines and compute the ...Refer to Example 3. Suppose that an increase in warehousing costs and other costs brings inventory carrying costs to $ 2 per unit per month. All other costs and quantities remain the same. Deter-mine a revised solution to ...Prepare a schedule like that shown in Figure 11.12 for the following situation: The forecast is 80 units for each of the first two periods and 60 units for each of the next three periods. The starting inventory is 20 units. ...Contrast net- change systems and regenerative systems for MRP.Post your question