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# Manager T. C. Downs of Plum Engines, a producer of lawn mowers and leaf blowers, must develop an aggregate plan given the forecast for engine

Manager T. C. Downs of Plum Engines, a producer of lawn mowers and leaf blowers, must develop an aggregate plan given the forecast for engine demand shown in the table. The department has a normal capacity of 130 engines per month. Normal output has a cost of $60 per engine. The beginning inventory is zero engines. Inventory carrying cost is $2 per engine per month. Backlog cost is $90 per engine per month.

- Develop a chase plan that matches the forecast and compute the total cost of your plan using trial and error method.
- Develop the optimal aggregate plan that matches the forecast and compute the total cost of your plan using the mathematical method (Excel Solve).
- Please compare between the two aggregate plans, describe findings and validate the differences.

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### Step: 1

To tackle this problem we need to develop two types of aggregate plans for Plum Engines a chase plan and an optimal aggregate plan using mathematical methods Heres a stepbystep guide for each approach ...### Get Instant Access to Expert-Tailored Solutions

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### Step: 2

### Step: 3

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