Question: Check my wor Problem 11-5 (Algo) Manager T. C. Downs of Plum Engines, a producer of lawn mowers and leaf blowers, must develop an aggregate

Check my wor Problem 11-5 (Algo) Manager T. C.Check my wor Problem 11-5 (Algo) Manager T. C.

Check my wor Problem 11-5 (Algo) 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. 1 90 2 145 3 100 Month 4 5 105 115 6 128 7 134 8 95 Total 912 Forecast 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. (Negative amounts should be indicated by a minus sign. Leave no cells blank - be certain to enter "O" wherever required.) Period 3 4 5 6 7 8 Total 90 145 100 105 115 128 134 95 912 Forecast Output Regular Overtime Output - Forecast Costs Output Regular Overtime Total 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. (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.) Period 2 3 8 Total Forecast 90 145 100 105 115 128 134 95 912 Output Regular Output - Forecast Inventory Beginning Ending Average Backlog Costs Output Regular Inventory Backorder Total

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