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Spreadsheet Problems 1. Given the following production plan, use a (a) chase production strategy, and (b) level production strategy to compute the monthly production, ending inventory/ (backlog), and workforce levels. A worker is capable of producing 100 units per month. Assume the beginning inventory at January is zero, and the firm desires to have zero inventory at the end of June. (a) Chase production strategy = production matches demand. Month Jan Feb Mar Apr May Jun Demand Production Ending inventory Workforce 2000 2000 0 20 3000 3000 0 30 5000 5000 0 50 6000 6000 0 60 6000 6000 0 60 2000 2000 0 20 (b) Level production strategy = production 24,000/6 = 4,000. Month Jan Feb Mar Apr May Jun Demand Production Ending inventory Workforce 2000 4000 2000 3000 4000 3000 40 5000 4000 2000 40 6000 4000 0 40 6000 4000 - 2000 40 2000 4000 0 40 40 Ending inventory of - 2000 in May indicates a backlog of 2000 units