Below are the aggregate demand requirements and other data for the upcoming four quarters.

Quarter	Demand		Previous quarter's output	1550 units
1	1200		Beginning inventory	150 units
2	1400		Stockout cost	$50 per unit
3	1650		Inventory holding cost	$10 per unit at end of quarter
4	1300		Hiring workers	$8 per unit
			Laying off workers	$12 per unit
			Unit cost	$40 per unit
			Overtime	$15 extra per unit

Which of the following production plans is better:

a. Plan Achase demand by hiring and layoffs to exactly meet monthly demand via regular time production. What is the total cost? [ Select ] ["$222,000", "$234,000", "$235,500", "$240,000"]

b. Plan BMixed Strategy - produce at a constant rate of 1250 and obtain the remainder from overtime. What is the total cost? [ Select ] ["$229,750", "$230,000", "$228,100", "$233,600"]

c. What plan should be implemented? [ Select ] ["Plan B", "either Plan A or B", "Plan A", "cannot determine"]