Question: Please show steps for answers in all boxes, shown in excel with formulas would be preferred! Thank you. Trexold Inc. makes a popular video game

Please show steps for answers in all boxes, shown in excel with formulas would be preferred! Thank you.
Trexold Inc. makes a popular video game console. Demand varies each month, with highest demand coming in the last quarter of the year. Regular production costs are $150 per unit and Inventory carrying cost is $2 per unit per quarter. Assume that Trexold has 12 employees at the end of the previous quarter (called Quarter o in the table below), each of whom can produce 5000 units per quarter In regular production. Hiring cost is $5000 per employee and firing cost is $9000 per employee. Trexold currently has zero inventory on hand, and they would like to have zero inventories at the end of the year. Assume hiring and layoff/firing, if necessary, occur at the beginning of quarter 1, and the number of employees will remain the same for quarters 1 through 4. Forecast demand is as follows: Quarter 1 Quarter 2 Quarter 3 Quarter 4 20000 30000 50000 80000 a. Given the above demand estimate, develop a production plan based on level production. Inventory may be carried in quarters 1-3, but should be o units at the end of quarter 4. Fill in the table below. Hint to determine regular production, use the average of total forecasted demand. Then determine how many workers are needed to produce that many units. Workers hired at the start of quarter 1 are able to produce 5000 units in that and all future quarters. (Leave no cells blank - be certain to enter "0" where ever required. Enter negative numbers with a minus sign in front, In the format-10. Enter answers without commas. I.e., If an answer is 10,000 enter it as 10000) 0 2 3 1 20000 4 80000 Total 180000 30000 50000 Quarter Forecasted demand Regular production Output - Forecasted Demand Beginning Inventory Ending Inventory Average Inventory 0 Number of workers 12 Number of workers to hire Number of workers to fire b. Determine the cost of the level production plan. Total cost: $
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
