b$.$ Compare the costs to a level plan that uses inventory to absorb fluctuations. Inventory carrying cost is $$4$ per engine per month.

Backlog cost is $$135$ per engine per month. There should not be a backlog in the last month. Set regular production equal to the

monthly average of total forecasted demand. Assume that using overtime is not an option.

Note: Negative amounts should be indicated by a minus sign. Leave no cells blank $-$ be certain to enter $"$O$"$ wherever required.

Round average inventory row, Inventory cost row, and Total row values to $1$ decimal.Manager T$.$ C$.$ Downs of Plum Engines, a producer of lawn mowers and leaf blowers, must develop an aggregate plan given the

forecast for engine demand shown in the table. The department has a regular output capacity of $136$ engines per month. Regular

output has a cost of $$65$ per engine. The beginning inventory is zero engines. Overtime has a cost of $$115$ per engine.

a$.$ Develop a chase plan that matches the forecast and compute the total cost of your plan. Regular production can be less than

regular capacity.

Note: Negative amounts should be indicated by a minus sign. Leave no cells blank $-$ be certain to enter $"$O$"$ wherever required.