Question: Jones Inc. is preparing an aggregate production plan for next year. The company expects demand to be 1.200 units in quarter 1:2,200 units in quarter

Jones Inc. is preparing an aggregate production
Jones Inc. is preparing an aggregate production
Jones Inc. is preparing an aggregate production
Jones Inc. is preparing an aggregate production plan for next year. The company expects demand to be 1.200 units in quarter 1:2,200 units in quarter 2: 4,200 units in quarter 3; and 3,200 units in quarter 4. The company will have 300 units in inventory at the beginning of the year and desires to maintain at least that number at the end of each quarter as safety stock. Assume hiring and layoff/firing, if necessary, occur at the beginning of the quarter. Other information: Regular production labor cost= $120 per unit Overtime production cost per unit = $180 Inventory carrying cost = $15/unit/quarter based on quarter-ending inventory Hiring cost = $3,000 per worker Firing/layoff cost = $3,500 per worker Beginning number of workers = 15 DrictureClick here for the Excel Data File Each worker can produce 100 units per quarter. a-1. Given the planning information, develop a level production plan and a chase production plan. (Leave no cells blank - be certain to enter "0" wherever required.) Level production plan Quarter Demand Overtime/Subcontract Production Ending Inventory Workers Required 1 Hire Fire layoff 2. Regular Production 2,700 2,700 2,700 2,700 10,800 1.200 2,200 4,200 3,200 10.800 3 4 Total 0 0 0

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