Question: I only need the last question which is the total stock out cost The S&OP team at Kansas Furniture, has received estimates of demand requirements

I only need the last question which is the total stock out cost

I only need the last question which is the totalI only need the last question which is the total

I only need the last question which is the total

The S&OP team at Kansas Furniture, has received estimates of demand requirements as shown in the table. Assuming one-time stockout costs for lost sales of $125 per unit, inventory carrying costs of $30 per unit per month, and zero beginning and ending inventory, evaluate these two plans on an incremental cost basis: Plan A: Produce at a steady rate (equal to minimum requirements) of 1,200 units per month and subcontract additional units at a $70 per unit premium cost. Subcontracting capacity is limited to 500 units per month. (Enter all responses as whole numbers). Ending Inventory Subcontract (Units) Production 1,200 1,200 100 Month 1 July 2 August 3 September 4 October 5 November 6 December Demand 1200 1300 1200 1700 1650 1650 1,200 1.2000 1.2000 1,200 oooooo 500 450 450 The total cost, excluding normal time labor costs, for Plan A = $ 105000. (Enter your response as a whole number.) Plan B: Vary the workforce to produce the prior month's demand. The firm produced 1,300 units in June. The cost of hiring additional workers is $35 per unit produced. The cost of layoffs is $60 per unit cut back. (Enter all responses as whole numbers.) Note: Both hiring and layoff costs are incurred in the month of the change (i.e., going from production of 1,300 in July to 1200 in August requires a layoff (and related costs) of 100 units in August). Hire (Units) Layoff (Units) Stockouts (Units) Ending Inventory 100 0 oo Month 1 July 2 August 3 September 4 October 5 November 6 December Demand 1200 1300 1200 1700 1650 1650 Production 1300 1200 1300 1200 1700 1650 0 100 100 100 5000 0 50 50 The total hiring cost = $ 21000. (Enter your response as a whole number.) The total layoff cost = $ 15000. (Enter your response as a whole number.) The total inventory carrying cost = $ 9000. (Enter your response as a whole number.) The total stockout cost = $ . (Enter your response as a whole number.)

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