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The production manager at Zam Tech has developed following aggregate forecast of its products: Period 1 2 3 4 5 6 Foreca
Posted: Wed Apr 27, 2022 2:19 pm
by answerhappygod
- The Production Manager At Zam Tech Has Developed Following Aggregate Forecast Of Its Products Period 1 2 3 4 5 6 Foreca 1 (166.89 KiB) Viewed 38 times
The production manager at Zam Tech has developed following aggregate forecast of its products: Period 1 2 3 4 5 6 Forecast 55 40 50 7 51 44 60 50 The manager has also assembled the following information to help in the development of the aggregate plans: Regular production cost $80.00/unit Overtime production cost $120.00/unit Subcontracting cost $140.00/unit Holding cost $10.00/unit/month Backorder cost $20.00/unit Regular capacity 40 units/month Overtime capacity 8 units/month Subcontracting capacity 12 units per month The manager wants to use a level strategy with a combination of backlogs, subcontracting, overtime and inventory to handle variations in demand. There is no beginning inventory and the safety stock requirement is zero. Note that there should not be a backlog in the final period. Note that no decimal points, commas or spaces in all the answers.