Using the data provided in following worksheet (demand, capacities and costs), create a combo plan (that is neither level or chase) using the attached spreadsheet template. You can make changes as necessary-- but keep in mind you: you have to meet overall demand... and you can't use more than your capacities. You will need to come up with a solution that solves a problem you had with the level/chase versions you already submitted. Example: You don't like employees having to work overtime... soooo... you create a combo plan that reduces that (and costs less or is close in cost).

Background: Wes and Steve are partners in a lunch truck company that operates a central kitchen and operates lunch trucks that travel to various locations in Philadelphia, Monday-Friday. The lunch trucks deliver pre-packaged healthy sandwich and salad alternatives, fresh fruit and pre-packaged low-fat desserts and canned beverages. Together, the partners have to make many decisions about how to structure the operational aspects of the business so that it is cost effective, efficient and profitable. Current Situation: Wes and Steve have begun to sell their bottled hot sauce to area markets. They have prepared a forecast of expected demand for the bottles for the next 6 periods as shown below. Given this information and the data re: capacities and costs, complete the 2 required aggregate plans on the next pages and answer the Qs shown. Period 1 2 3 4 5 6 Total Forecast 200 100 300 400 300 200 1,500 Maximum regular production = 200 units/period Maximum overtime = 50 units/period Maximum Subcontracting = 200/period Beginning inventory = 0 Regular time cost = $10 Overtime cost = $15 Sub-contract cost = $25 Inventory holding costs are $1/average unit/period Backorders cost of $20/unit/period