Please note different from previous questions, this question is using chase strategy Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters What is the associated cost in quarter 1 if chase strategy adopted Quarter Demand Previous quarter's output 2500 units 1 2300 Beginning inventory 200 units 2 2400 Stockout (backorder) cost $50 per unit 3 2600 Inventory holding cost $10 per unit at end of quarter 4 2100 Hiring workers $4 per unit Laying off workers $8 per unit Question 10 options $2500 $2000 $3200 $1600 Hide hint for Question 10 please note (1) the initial inventory 200 will be used to partly meet the demand of quarter 1 (2) find out the production change of quarter 1 based on previous quarter's level 2500

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Question: Please note: different from previous questions, this question is using chase strategy. Osprey Machine Works has the following demand requirements and other data for the

Please note: different from previous questions, this question is using chase strategy.

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters. What is the associated cost in quarter 1 if chase strategy adopted?

Quarter	Demand	Previous quarter's output	2500 units
1	2300	Beginning inventory	200 units
2	2400	Stockout (backorder) cost	$50 per unit
3	2600	Inventory holding cost	$10 per unit at end of quarter
4	2100	Hiring workers	$4 per unit
		Laying off workers	$8 per unit

Question 10 options:

	$2500
	$2000
	$3200
	$1600

Hide hint for Question 10

please note:

(1) the initial inventory 200 will be used to partly meet the demand of quarter 1. (2) find out the production change of quarter 1 based on previous quarter's level 2500

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