Plan production for the next year. The demand forecast is: spring, 19,500; summer, 9,400; fall, 15,000; winter, 18,800. At the beginning of spring, you have 66 workers and 990 units in inventory. The union contract specifies that you may lay off workers only once a year, at the beginning of summer. Also, you may hire new workers only at the end of summer to begin regular work in the fall. The number of workers laid off at the beginning of summer and the number hired at the end of summer should result in planned production levels for summer and fall that equal the demand forecasts for summer and fall, respectively. If demand exceeds supply, use overtime in spring only, which means that backorders could occur in winter. You are given these costs: hiring, $70 per new worker; layoff, $140 per worker laid off; holding, $19 per unit-quarter; backorder cost, $9 per unit; regular time labor, $11 per hour; overtime, $17 per hour. Productivity is 0.5 unit per worker hour, eight hours per day, 50 days per quarter. Find the total cost of this plan. Note: Hiring expense occurs at beginning of Fall. (Leave the cells blank, whenever zero (O) is required.) F Spring 19,500 Summer 9,400 all 15,000 Winter 18,800 Forecast Beginning inventory Production required Production hours required Regular workforce Regular production Overtime hours Overtime production Total production Ending inventory Ending backorders Workers hired Workers laid off Spring Summer Fall Winter Regular time Overtime Inventory Backorder Hiring Layoff Total Total cost

19-9 Plan prodution for the next year. the demand forecast is spring ,19500; summer ,9400; fall 15000; winter ,18000.at the begining of spring you have 66 workers and 990 units in inventory. 19.9) Production Plan of the calculate firm for next year using the given details.. Sprins 19.500 Demand Sumex 9,400 winter 18.800 I 15000 990 8 70 $ 140 wo of coorkers Beginning in Ventory Hiring cost Laying cast inventory Holding cast Back order cost straight time cost Overtime cost Productivity $ 19 19 $ 17 05 Noter D over time needs to be done to prevent stock outs in sering of and 2 Layoff done the begining Summer can be at hiring can be done at Summer. the end of no of Units Produced by I worker season 0:5 78 X 50 200 Unib Production plan of the firm is given below: winter 18000 & Forecast 3 Begining inventory 4 Production required 5 Production hours required 6 Regulan workforce Summer 19500 9400 990 1 =B2-B3 -C2-C3 =B4* 0.5 zat 0.5 Roundup 412000) -B6* 200 206+200 - B9 10.5 0 BL-87 = 89 +82 = cq + c = B2 Bg - Bio o fall 15000 0 D 2 D3 = Duto.5 Round op 042000) D6*200 0 E2 E3.| E405 = D6 66 E6 200 17 8 14 Regular Production overtime hours overtime Production Total Production Ending Inventory Ending back orders workers hired workers laid off =Dq + D2 ZEQ + Ez =E2 - Elo straight time over time Inventory Back order Hiring lay off O O DS -C6 o o 86 - C6o . o spring Summer Fall winter 2 (871) 0.5 (67")los co711) 10.5 = (67" 11 05 : Bo* 17 gt 17 Då 17 E8² 17 2 B3 1934 19 D3 19 = E3² 19 2 B12 qalq Doza 69 2 B3 70 - C13² 70 Die TO ² E 1310 Bly 140 C14" 140 D14140 4 140 Total SUM (316-B21) SUM (C16: C21 SUM (016! Du) SUM (E16E21) Total cost (323-683) winter 18.800 4 6 1 18.800 9,400 75 15.000 в с о spring summer Fall Forecast 191500 9400 15.000 Begining inventory 990 Production required 18.510 9.400 15.000 Production hour's required 9.255 4.700 7,500 Regular coork force 66. 47 75 Regular Production 13,200 9400 15.000 overtime hours 10,620 overtime Production 5,310 Total Production 18.510 9.400 15,000 Ending inventory Ending back orders workers hired I workers laid off Spring Summer Fall straight time 290400 206800 330000 over time 180540 Inventory 18810 Back order Hiring 1960 lay off 2660 0 151000 3800 Oo 28 winter 336000 30 200 Total 489750 209460 331960 364200 Total Cost 1395370 Hence the total cost of the plan is 1,395 370 .

Plan production for the next year. The demand forecas…

Answers

19.9) Production Plan of the calculate firm for next year using the given details.. Sprins 19.500 Demand Sumex 9,400 winter 1

Production plan of the firm is given below: winter 18000 & Forecast 3 Begining inventory 4 Production required 5 Production h

Similar Solved Questions

1 answer

Katherine Brewer is the stockholder and operator of Our Idol LLC, a motivational consulting business. At...

Katherine Brewer is the stockholder and operator of Our Idol LLC, a motivational consulting business. At the end of its accounting period, December 31, 2017, Our Idol has assets of $574,000 and liabilities of $138,000. Using the accounting equation, determine the following amounts: Stockholders'...

Plan production for the next year. The demand forecast is: spring, 19,500; summer, 9,400; fall, 15,000;...

Question:

Answers

Similar Solved Questions