Question: Q 2 . ( 2 0 % ) Michele Platini and Diego Maradona, planners for a company that makes several models of footballs are about
Q Michele Platini and Diego Maradona, planners for a company that makes several models of
footballs are about to prepare the capacity plan that will cover six periods. They have assembled the
following information.
They intend to start with zero inventory on hand in the first period, and their production rate is units per
period. Use overtime at a fixed rate of units per period as needed. Use subcontracting at a maximum rate
of units per period if needed.
Plan for an ending inventory of zero for period Backorders cannot exceed units per period.
Compute the total cost of the plan.
a Prepare the capacity plan as below using the level strategy. PLEASE FILL OUT TABLE IN ANSWER
Level Strategy Operations Costs: Regular: Overtime: Subcontracting: Inventory: Backorders:
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