Question: Task 4 : Sask Trailers assembles different types of small camping trailers demanded between January and June of each year. The demand generally peaks in

Task 4: Sask Trailers assembles different types of small camping
trailers demanded between January and June of each year. The demand
generally peaks in April and May. Next year's aggregate demand
forecast beyond the regular capacity is given in the following table:
The company can hire temporary workers to meet the above
requirements. Each temporary worker can produce 15 units per month.
Hiring/training cost is approx. $1,000 per temp worker.
Inventory holding cost per camping trailer per month is $50, charged to
average inventory level during a month. Before January, there are no
camping trailers on hand. 270 extra units are desired in inventory at the
end of June. Any shortage during a period is backordered at a cost of
$150 per camping trailer per month.
Find the monthly and total costs of Plan A (Chase) and Plan B
(Adjusted Chase).
[10 Marks]
Plan A - Chase:
Note: Ending inventory of 270 units is desired in June, hence, in June,
the output is 270 units more than the demand.
Plan B - Adjusted Chase:
 Task 4: Sask Trailers assembles different types of small camping trailers

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