Question: please answer asap. will give thumbs up. thanks 5. A manager has prepared a forecast of expected aggregate demand for the next six months. Develop
please answer asap. will give thumbs up. thanks
5. A manager has prepared a forecast of expected aggregate demand for the next six months. Develop an aggregate plan to meet this demand given this additional information: A level production rate of 100 units per month will be used. Backorders are allowed, and they are charged at the rate of $8 per unit per month. Inventory holding costs are $1 per unit per month in ending inventory. Determine the cost of this plan if regular time cost is $20 per unit and beginning inventory is zero. The aggregate plan should look like this (note: Hold.cost=End.Iny. *Holding cost per unit): Period 1 2 4 5 6 Forecast 80 100 120 110 100 90 Beg. Inv. Production End. Inv. With costs as follows: Period 12 4 5 Production Holding Cost Backorder Cost Total cost of this plan is
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