Question: Apple is facing the aggregate planning problem shown in the table below. Cost of regular production is $ 8 per unit, the cost of producing

Apple is facing the aggregate planning problem shown in the table below. Cost of regular production is $8 per unit, the cost of producing the same unit on overtime is $15, the cost of subcontracting is $12 per unit, and the cost of carrying a unit in inventory from one month to the next is $6.subcontracting is $12 per unit, and the cost of carrying a unit in inventory from one month to the
next is $6.
The labor contract at the plant prohibits both overtime and subcontracting output to exceed 400
units in any five-month window. The plant capacity is 20 units per day produced using two shifts
and the plant runs seven days a week. By policy, management wants to avoid stockouts.
What is the optimal total cost of the aggregate plan developed to address this problem?
A) $27,200
B) $20,960
C) $31,400
D) $26,600
How many units are produced using overtime in the optimal aggregate plan developed to
solve this problem?
A)360
B)200
C)400
D)280
How many months does the regular time output exceed plant capacity in the optimal solution?
A)0
B)1
C)2
D)3
 Apple is facing the aggregate planning problem shown in the table

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