Question 1. Aggregate Planning (25 marks) Mis a company that produces handbags. The company is trying to develop an aggregate plan for the next 6 months. The demand forecast, number of working days for each month, and cost information are as follows: 1 Aug Sepe Octe Dece Demand forecast 1200 1000e 1550- Number of working days 22e 222 Jule Nove 800 900- 232 700- 212 It tt 212 202 per hour Materiale $50 e per unite Straight time $6 + per hour Overtime $9 Hiring $90 per workere Layoff $180 per worker Inventory holding $5 per unit per month Backorder- $10 per unit per month Subcontracting $75 per unit 12 t At the beginning of July, there are 100 units of initial inventory and 10 workers. Besides, the following assumptions are made: The productivity is 0.5 unit per hour, with 8 hours per day: Round up "Number of workers" to the next whole number: Once scheduled, all workers will produce at their full potential each month:- Inventory holding cost and backorder cost are calculated based on the ending inventory of each month; Hiring cost or layoff cost is incurred when the total number of workers changes. Questions: Use the following strategies to develop aggregate plan in the subsequent three tables respectively. Plan A: Pure chase strategy. (7 marks) Plan B: Pure level strategy. (7 marks) Plan C: A constant workforce of 9 workers; use overtime to fulfil extra demands in July, August, and September, and use subcontracting to fulfil extra demands in October, November, and December (10 marks) (11) Find out the strategy with the least total costs. (1 mark)