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Problem 11-9 Wormwood,
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Problem 11-9

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

 123456

  Demand160   150   160   180   170   140   

  Capacity      

     Regular150   150   150   150   160   160   

     Overtime10   10   0   10   10   10   


 

Cost Per Unit

  Regular time$50  

  Overtime75  

  Subcontract80  

  Inventory, per period4  


 

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. (Negative amounts should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" sign in your response.)


 

  Period            1         2        3       4       5      6       Total

  Forecast160  150  160  180  170  140  960  

  Output              

    Regular150  150  150  150  160  160  920  

    Overtime10  10  0  10  10  10  50  

    Subcontract              

  Output- Forecast              

  Inventory              

    Beginning              

    Ending              

    Average              

  Backlog              

  

  Costs:              

    Regular$             $   

    Overtime              

    Subcontract              

  Inventory              

  Backlog              

  

  Total$             $

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Problem 11-9 Wormwood,
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  • Submitted On 25 Sep, 2015 11:24:26
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Problem 11-9 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 U...
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