Question: Use the data given in table in Problem 5. In addition, the following information is available. The current number of workers is 37. (Note: This

Use the data given in table in Problem 5.

In addition, the following information is available. The current number of workers is 37.

(Note: This must be changed to the number of workers required in period 1.) Backorders (shortages)

cost $100, and carrying inventory costs $25 per unit per time period.

Hiring costs $200 per person added, and layoffs cost $300 per person. The cost of an additional person working is $2000 per month. Fractional payroll amounts can be calculated and used as well. Answer the following questions

a. What is the total inventory carrying cost in 6 months?

b. What is the total shortage cost in 6 months?

c. What is the cost of hiring in 6 months?

d. What is the cost of layoff (firing) in 6 months?

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