Wagner-Whitin dynamic programming approach. Use the demand and manufacturing data gathered in Table 7 to set up the optimal production and inventory schedule over four periods. No shortages are permitted (i.e., when the demand cannot be met, being temporarily out of stock). Month D, Demand A, Fixed Cost C Variable Prod. Cost h, Inventory Holding Cost TABLE 7 1 2 3 4 20 30 40 30 30 40 30 50 3 3 4 4 2 2 1 1 Source: Lynwood A. Johnson, Douglas C. Montgomery, Operations Research in Production Planning, Scheduling and Inventory Control, Table 4.8, p. 215, Copyright 1974 by John Wiley and Sons, Inc. The following exercises refer to the single-period stochastic Naddor inventory modeling