A company wants to develop a level production plan. The beginning inventory is zero. Demand for the

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A company wants to develop a level production plan. The beginning inventory is zero. Demand for the next four periods is given in what follows.

a. What production rate per period will give a zero inventory at the end of period 4?

b. When and in what quantities will backorders occur?

c. What level production rate per period will avoid backorders? What will be the ending inventory in period 4?

3 4 Period Total Forecast Demand 5 Planned Production Planned Inventory 2.

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula                Ending Inventory Formula =...
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Related Book For  book-img-for-question

Introduction To Materials Management

ISBN: 978-9386873248

8th edition

Authors: Arnold J. R. Tony, Gatewood Ann K., M. Clive Lloyd N. Chapman Stephen

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