Question: Congratulations, the design options for the two mobile phone lines have been specified. You will now have to predict the total demand for each
Congratulations, the design options for the two mobile phone lines have been specified. You will now have to predict the total demand for each product line. Your forecasting team members have come up with a consensus for what they believe demand will be for the mobile phone lines. However, the board of your company is interested in your personal estimates as well. The numbers you will forecast after entering the forecasting room will not affect your production schedule, but they will help you later as you determine where and how to source your products. Model A: Monthly Estimated Demand May-December in thousands per month Average:59 11 Andrei Aya Lorenzo Claire Byron Ruth Consensus 020406080 Consensus: 64 Model B: Monthly Estimated Demand May-December in thousands per month Average: 29 14 Andrei Aya Lorenzo Claire Byron Ruth Consensus 020406080 Unit Data with Options as Chosen costs are an estimate from the lowest-cost contract manufacturer Unit Price Unit Cost Unit Profit Model A Model B $235.00 $275.00 $162.00 $182.00 $73.00 $93.00 $54.60 $5.50 Markdown (liquidation) Price* $145.80 Monthly Holding Cost $4.70 *at the end of the year, all models left in stock will be sold to a consolidator at this price Enter your demand estimates This is your forecast for what monthly demand will be each month from May through December. There is no demand expected from January through April. Model A Model B k/month k/month
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Solution Here are my demand forecasts for Models A and B Model A May 65000 June 68000 July 70000 Aug... View full answer
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