Wormwood, Ltd., produces a variety of furniture products. The planning committee wants to prepare an aggregate plan for the next six months using the following information:

Month 1 2 3 4 5 6            
Demand 160 150 160 180 170 140            
Capacity Regular 150 150 150 150 160 160            
Overtime 10 10 0 10 10 10            

Cost per unit;

Regular time: ........$50

Overtime: .......... 75

Subcontract: ......... 80

Inventory pay period: ...... 4

Subcontracting can handle a maximum of 10 units per month. Beginning inventory is zero.

Develop a plan that minimizes total cost. No back orders are allowed.