Question: Her operations manager is considering a new plan, which begins in January with 200 units of inventory on ha This exercise contains only Plan D.

Her operations manager is considering a new plan,
Her operations manager is considering a new plan,
Her operations manager is considering a new plan,
Her operations manager is considering a new plan,
Her operations manager is considering a new plan, which begins in January with 200 units of inventory on ha This exercise contains only Plan D. Plan D: Keep the current workforce stable at producing 1,600 units per month. In addition to the regular produ Note: Do not produce in overtime if production or inventory are adequate to cover demand. The total overtime production cost = $ (Enter your response as a whole number.) The total inventory holding cost for January through August = $ (Enter your response as a whole number.) The total stockout cost = $ (Enter your response as a whole number.) The total cost, excluding normal time labor costs, for Plan D = $ (Enter your response as a whole number.) of inventory on hand. Stockout cost of lost sales is $70 per unit. Inventory holding cost is $25 per unit per mor to the regular production, another 20% of the normal production units can be produced in overtime at an additi . e as a whole number.) se as a whole number.) January February March April month. Ignore any idle-time costs. Evaluate the following plan. ditional cost of $55 per unit. A warehouse now constrains the maximum allowable inventory on hand to 600 units or less Demand Month 0 December 1 January 2 February 3 March 4 April 5 May 6 June 7 July 8 August 1,450 1,700 1,800 1,900 2,300 2,200 1,700 1,300 January February March April 1,450 1,700 1,800 1,900 May June July August 2,300 2,200 1,700 1,300 inventory on hand to 600 units or less, Plan D Production (Units) O.T. Production (Units) Ending Inventory 200 Stockouts (Units) Demand Month 0 December 1 January 2 February 3 March 4 April 5 May 6 June 1,450 1,700 1,800 1,900 2,300 2,200 1,700 1,300 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 7 July 8 August

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!