Question: Replace the March demand forecast 5 1 0 by C . During a 4 6 - day period when there were 1 2 0 workers,

Replace the March demand forecast 510 by C.
During a 46-day period when there were 120 workers, the firm produced 1,700,000 cookies. Assume that there are 100 workers employed, and C cookies in inventory at the beginning of month 1(January). Further assume that the inventory carrying cost cI = $0.10/cookie/month, employee hiring cost cH = $100/work, and cost of firing one worker cF = $200/worker. It is required that the inventory level at the end of month 12(December) is 2C.
(1) Mixed strategy (allowing inventory and workforce changes from month to month): Find an optimal plan (using linear programming) to meet all monthly demands (assuming back order not allowed) in order to minimize the total cost including employee hiring and firing costs and inventory carrying cost.
show all solutionThe Mr. Meadows Cookie Company can obtain accurate forecasts for 12 months based
on firm orders. These forecasts and the number of workdays per month are as follows:
 Replace the March demand forecast 510 by C. During a 46-day

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