TABLE 1: Forecasted demand and working days

working days (jan to june)= 22,19,21,21,22,20

TABLE 2: Costs

Inventory holding cost Cost of stockout Cost of subcontracting Hiring and training cost Layoff/firing cost Labor hours required Straight-line cost (first 8 hours each day) Overtime cost (time and half)

$1.50/unit/month $5/unit/month $20/unit $200/worker $250/worker 5 hours/unit $4/hour $6/hour

TABLE 3: Initial inventory 400 and safety stock requirements 25% of month's demand.

Table 4: Aggregate Production Planning Requirements
	January	February	March	April	May	June
Beginning inventory	400	450	375	275	225	275
Demand forecast	1800	1,500	1,100	900	1,100	1,600
Safety stock (.25 x Demand forecast)	450	375	275	225	275	400
Production requirement (Demand forecast + Safety stock - Beginning inventory)	1850	1425	1000	850	1150	1725
Ending inventory (Beginning inventory + Production requirement - Demand forecast)	450	375	275	225	275	400

NOTE: Straight-line production cost = regular-time (8 hours each day) production cost.

PLAN 3: Produce to meet the minimum forecasted demand (Aprils demand) using a constant workforce on regular time. Subcontract to meet additional output requirements. The number of workers is calculated by locating the minimum monthly production requirement and determining how many workers would be needed for that month and subcontracting any monthly difference between requirements and production. What is the number of workers needed in this case? Again, for this plan, assume that the available workforce at the start of January is equal to the number of workers needed for this plan (to be determined). In other words, there will be no hiring and firing for this plan.

Use the information given in Tables 1, 2, 3, and 4 to fill in appropriate values for the quantities listed in the first column of the following table (Table 7) for each month (January to June) of the planning period. What is the total cost of production plan 3?

NOTE 4: In solving this aggregate plan, please be sure to give explicit equations/calculations you have used to obtain the number of workers required and the quantities in the first column of TABLE 7 below for the months of January, February and March.

Production Plan 3
No. of workers required	?
(low constant workforce)
	jan.	feb	mar	apr	may	jun	total
Production Requirement
Working days per month
Production hours available
actual production
units subcontracted
subcontracting cost							?
straight line cost							?
						total cost	?

what additional info so you need