Question: DAT, Inc., needs to develop an aggregate plan for its product line. Relevant data are Production time 1 hour per unit Beginning inventory SOO units

DAT, Inc., needs to develop an aggregate plan for its product line. Relevant data are Production time 1 hour per unit Beginning inventory SOO units erage labor $10 per hour Safety stock One-half month Workweek Shortage cost 5 days, 8 hours each day Assume 20 workdays per month $20 per unit per month $5 per unit per month Days per month Carrying cost Feb. May 3,500 June 3.000 July 3.000 Aug. 4,000 Sept. 4,000 Oct. 4.000 Nov. 3,000 Dec 3.000 the forecast for next year is Mar Apr. 2.500 3,000 4,000 3,500 Management prefers to keep a constant workforce and production level, absorbing variations in demand through inventory excesses and shortages. Demand not met is carried over to the follow ing month. Develop an aggregate plan that will meet the demand and other conditions of the problem. Do not try to find the optimum; just find a good solution and state the procedure you might use to test for a better Solution. Make any necessary assumptions

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