Question: Applances Inc. Is preparing an aggregate productlon plan for washers for the next four months. The company's expected monthly demand is given below in the

 Applances Inc. Is preparing an aggregate productlon plan for washers for

Applances Inc. Is preparing an aggregate productlon plan for washers for the next four months. The company's expected monthly demand is given below in the chart. The company will have 640 washers in Inventory at the beginning of the month and desires to maintain at least that number at the end of each month. Assume hiring and layoff/firling, If necessary, occur at the beginning of the month. Below is other critical data: Production cost per unit =$384 Inventory carrying cost per month per unit =$64 (based on ending month Inventory) Hiring cost per worker =$1,280 Firing cost per worker =$2,560 Beginning number of workers =13 pictureClick here for the Excel Data File Each worker can produce 128 units per month. a. Given the planning information, develop a level production plan and a chase production plan. (Leave no cells blank - be certaln to enter "O" wherever required.) b. Determine the cost of the two plans

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!