Short Answer Problem 2: [10 points) You are tasked with solving a lot-sizing problem over the next year where the pattern of demand, order costs, production costs, and inventory costs repeat each month. In particular, the table below gives you this pattern - demand spikes in Week 1 and then drops for the rest of the month and also the fixed ordering cost is quite low in Week 1 and then spikes upwards for the remainder of the month. Week of Month 1 2 3 4 d. 1000 50 50 50 K 100 1000 1000 1000 c, 10 10 10 10 2 2 2 2 h (A) [6 points) Based on the desire to minimize total production, ordering, and inventory costs, provide the ordering policy that will minimize costs for the year and a brief argument why this is correct. (B) [4 points] How much would demand in Week 2 need to be in order to justify ordering in Week 2? Solution: Short Answer Problem 2: [10 points) You are tasked with solving a lot-sizing problem over the next year where the pattern of demand, order costs, production costs, and inventory costs repeat each month. In particular, the table below gives you this pattern - demand spikes in Week 1 and then drops for the rest of the month and also the fixed ordering cost is quite low in Week 1 and then spikes upwards for the remainder of the month. Week of Month 1 2 3 4 d. 1000 50 50 50 K 100 1000 1000 1000 c, 10 10 10 10 2 2 2 2 h (A) [6 points) Based on the desire to minimize total production, ordering, and inventory costs, provide the ordering policy that will minimize costs for the year and a brief argument why this is correct. (B) [4 points] How much would demand in Week 2 need to be in order to justify ordering in Week 2? Solution