Question: Develop the objective function and the constraint equations for the following aggregate output problem. Assume an eight-hour, twenty-day month. Person-hour demands for the next six

Develop the objective function and the constraint equations for the following aggregate output problem. Assume an eight-hour, twenty-day month. Person-hour demands for the next six months are 35000, 25000, 40000, 45000 and 30000. The costs are as follows: Inventory holding cost: $0.30/person-hours/month. Regular time payroll cost: $6/person-hour. Overtime payroll cost: $9/person-hour. Hiring cost: $300/worker. Layoff cost: $500/worker. The initial status consists of a workforce of 220 workers and a current inventory of 10000 person-hours

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!