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s wr hventory carrying cost than the level plan and lower hiring/layoff cost tha

ID: 326810 • Letter: S

Question

s wr hventory carrying cost than the level plan and lower hiring/layoff cost than the chase plan. O C Has higher hiringlayoff cost than the chase plan and higher inventory carrying cost than the leel plan O d Has lower inventory carrying cost than the chase plan and higher hiringlayoff cost than the lovel plan QUESTION 3 ation is in the following chat The company will have 50 Production cost per unit-$50 Bezinning Inventory So Month Demand Regulare Ending Workers HireFir eginning Workerk 16 laveskory Required 1,000 1.200 1.500 1.300 Total Inventory carying cost per month per un-$10 Ceased on iding mont ir-5300 cost per Firing cost per worker $200 Beginning number of workers 16 Each worker can produce 50 units per month CHASE PLAN What is the inventory carrying cost of a chase plan accomplished through hiring and firing O a $2,000 O b.$200 o d $1,000 QUESTION 4 Which type of aggregate production plan is lkely to have the LEAST negative impact on the local community and the worktorce? a Level plan Cliek Save and Submit to save ansl a bt Chie Sn All Al

Explanation / Answer

Please refer below table which calculates inventory at each period

Regular production ( basis existing workforce of 16 and production of 50 units / worker)

Numbers hired

Number fired

Additional production ( @ 50 units per worker hired)

Inventory carried

( Demand – regular production – Number hired)

Additional 4

Additional 6

4 fired

Total :

As calculated, Total inventory carried as per Chase production plan outlined above = 0

INVENTORY CARRYING COST AS PER CHASE PLAN = 0

Regular production ( basis existing workforce of 16 and production of 50 units / worker)

Numbers hired

Number fired

Additional production ( @ 50 units per worker hired)

Inventory carried

( Demand – regular production – Number hired)

Additional 4

Additional 6

4 fired

Total :