IMAE 375 Production & Inventory Control Chapter 2 Production Planning Systems (calculations) Name: 1 A company makes windows and wants to develop a weekly production plan. The expected opening inventory is 250 windows, and the company wants to reduce that to 150 windows by the end of the week planning period Period Opening Inventory Total 260 Forecast cases) 240 280 259 266 1305 Production 250 150 Ending inventory 2. How much, should be produced each week (fill-in-chart)? Total production Total forecast + ending inventory - Opening inventory Production each period total production/No. of planning periods 3. What is the ending inventory for each period (Fill-in-chart)? Weekly ending inventory = beginning (openine) inventory + production - demand (forecast) 4. If the cost of carrying inventory is $3 per window per week, what is the total cost of carrying inventory? 5. By reducing weekly inventory from 250 to 150, what is the savings per week? August 21, 2020