Question: Draw up a Chase Demand Production plan based on the following information Quarter Sales Forecast Spring 70,000 tubes Summer 45,000 tubes Autumn 80,000 tubes Winter

Draw up a Chase Demand Production plan based on the following information

Quarter Sales Forecast

Spring 70,000 tubes

Summer 45,000 tubes

Autumn 80,000 tubes

Winter 250,000 tubes

Hiring Cost = 200 per worker

Firing Cost = 500 per worker

Stock cost = 0.50 per tube per quarter

Shortage cost = 3.00 per tube per quarter

Production cost = 2.00 per tube

Production per employee: 1000 tubes per quarter

Workforce at start: 100 employees

Effective capacity: 150,000 tubes per quarter

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