Your company makes a product for which quarterly demand and relevant data are shown in the...

  

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Your company makes a product for which quarterly demand and relevant data are shown in the following table: Quarter Sales forecast Spring 16500 Summer 18000 Fall 20500 Winter 22000 Hiring cost = $180 per worker Firing cost = $600 per worker Inventory carrying cost = $2 per unit per quarter Regular prod. cost per unit = $1.5 125 units per quarter Production per employee = Beginning workforce = 154 workers (a) If the company uses level production strategy, the number of workers needed each quarter is a) 155 b) 154 c) 153 d) 152 (b) If the company uses level production strategy, the inventory at the end of fall is units. a) 4,000 b) 3,750 c) 3,000 d) 2,750 (c) If the company uses level production strategy, the total cost of production is a) $136,620 b) $136,500 c) $134,620 d) $134,500 Your company makes a product for which quarterly demand and relevant data are shown in the following table: Quarter Sales forecast Spring 16500 Summer 18000 Fall 20500 Winter 22000 Hiring cost = $180 per worker Firing cost = $600 per worker Inventory carrying cost = $2 per unit per quarter Regular prod. cost per unit = $1.5 125 units per quarter Production per employee = Beginning workforce = 154 workers (a) If the company uses level production strategy, the number of workers needed each quarter is a) 155 b) 154 c) 153 d) 152 (b) If the company uses level production strategy, the inventory at the end of fall is units. a) 4,000 b) 3,750 c) 3,000 d) 2,750 (c) If the company uses level production strategy, the total cost of production is a) $136,620 b) $136,500 c) $134,620 d) $134,500

Answer rating: 100% (QA)

The level production strategy tries to utilize constant level of resources irrespective of the marke... View the full answer