Question: Climate Control, Inc., makes expedition - quality rain gear for outdoor enthusiasts. Management prepared a forecast of sales ( in suits ) for next year
Climate Control, Inc., makes expeditionquality rain gear for outdoor enthusiasts. Management prepared a forecast of sales in suits for next year and now must
prepare a production plan. The company has traditionally maintained a level workforce strategy. All eight workers are treated like family and have been employed by
the company for a number of years. Each employee can produce suits per month. At present, finished goods inventory holds suits. The demand
forecast follows:
a Management is willing to authorize overtime in periods for which regular production and current levels of anticipation inventory do not satisfy demand. However,
overtime must be strictly limited to no more than percent of regular time capacity. Management wants to avoid stockouts and backorders and is not willing to accept
a plan that calls for shortages.
Assuming that overtime is only used in periods for which shortages would occur, it
feasible to hold the workforce constant because choose the correct answer
below and fill in the free response boxes in your choice if appropriate:
A overtime is first required in month and, after utilizing all regular and overtime production capacity, there is a shortage in that month of suits. Enter your
responses as positive whole numbers.
B after utilizing all regular and overtime production capacity, there are never any shortages.
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