LEVEL PLAN 4 pts) Periods 1 2 3 4 5 6 TOTAL Forecast 500 450 600 700 400 500 Output Regular Overtime Subcontract Output - Forecast Inventory Beginning Ending Average Backlog Costs: Output: Regular Overtime Subcontract Inventory Back orders Total CHASE PLAN (3 pts) Period 1 2 3 4 5 6 TOTAL 500 450 Forecast 600 700 400 500 Output Regular Overtime Subcontract Output - Forecast Inventory Beginning Ending Average Backlog Costs: Output: Regular Overtime Subcontract Inventory Back orders Total 1. Which plan is better from a cost standpoint? Why? (1 pt) 2. Which plan is better for employees? Why? (1 pt) 3. Which plan is better for customers? Why? (1 pt) Wes and Steve have begun to sell their bottled hot sauce to area markets. They have prepared a forecast of expected demand for the bottles for the next 6 periods as shown below. Given this information and the data re: capacities and costs, complete the 2 required aggregate plans on the next pages and answer the Qs shown. Period 1 2 3 4 5 6 Total Forecast 80 100 120 110 100 90 600 Maximum regular production = 500 units/period Maximum overtime = 50 units/period Maximum Subcontracting = 200/period Beginning inventory = 0 Regular time cost = $12 Overtime cost = $18 Sub-contract cost = $25 Inventory holding costs are $1/average unit/period Backorders cost of $20/unit/period