Question: Consider the following aggregate planning problem for one quarter: Regular Time Overtime Subcontracting 1,000 200 150 Production Capacity/Month Production Cost/Unit 5 7 8 Assume that

Consider the following aggregate planning problem
Consider the following aggregate planning problem
Consider the following aggregate planning problem for one quarter: Regular Time Overtime Subcontracting 1,000 200 150 Production Capacity/Month Production Cost/Unit 5 7 8 Assume that there is no initial inventory and there is forecasted demand of 1,250 units in each month in the quarter. Carrying cost is $1 per unit per month, and backlogs are not allowed. Use the transportation model to find the optimal solution. How much excess capacity is there? [ Select] units What is the cost of the optimal solution? [ Select ] How many units are actually made by subcontracting? [ Select] Assume that there is no initial inventory and there is forecasted demand of 1,250 units in each month in the quarter. Carrying cost is $1 per unit per month, and backlogs are not allowed. Use the transportation model to find the optimal solution. How much excess capacity is there? [ Select ] units What is the cost of the optimal solution? [Select ] How many units are actually made by subcontracting? [ Select ] How many units incur a holding cost? In other words, how many are made in one month and held to meet the demand of a future month? [Select] units

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