Question: Hello. Please help me with these calculations. Problem 1 Based on the demand shown below, use a (a) chase production strategy and (b) level production
Hello. Please help me with these calculations.
Problem 1
Based on the demand shown below, use a (a) chase production strategy and (b) level production strategy to compute the monthly production, ending inventory or backlog, and workforce levels. A worker can produce 50 units per month. Beginning inventory in January is 500 units, and the firm is targeting 200 units of inventory at the end of June.
| Month | JAN | FEB | MAR | APR | MAY | JUN |
| Demand | 2000 | 3000 | 5000 | 6000 | 5000 | 2000 |
| Production | ||||||
| Ending Inventory | ||||||
| Workforce |
Problem 2
Given the following information, compute the economic order quantity, annual holding cost, annual order cost, and annual total inventory cost.
Annual requirements (R) = 50,000 units
Order cost (S) = $150 per order
Holding rate (k) = 15%
Unit cost (c) = $100 per unit
| Variable | Answer |
| EOQ | |
| Annual Holding Cost | |
| Annual Order Cost | |
| Total Annual Inventory Cost |
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