Question: For next 3 questions consider the aggregate planning information below. Product Std. Time Beginning Inventory Inventory Holding Cost (person- ($/unit-mo) hrs/part) A 2 0 1.0

For next 3 questions consider the aggregate

For next 3 questions consider the aggregate

For next 3 questions consider the aggregate planning information below. Product Std. Time Beginning Inventory Inventory Holding Cost (person- ($/unit-mo) hrs/part) A 2 0 1.0 B 4 0 3.0 Demand Forecast May June Product A 300 100 Product B 600 200 All stockouts are backordered Workforce = 15 workers No hiring is possible. Capacity = 160 hours per worker per month regular time = 40 hours per worker per month overtime Regular time wage rate = $12 per hour Overtime wage rate = 1.5 X regular time wage rate Backorder Cost ($/unit-mo) 10 20 July 500 400 2. If we use a level-production (load-leveling) strategy, how many hours will be required of each worker in July? a) 100 b) > 100 and 125 c) > 125 and 150 d) > 150 and 175 e) > 175

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