•••• 13.19 The manufacturer of outdoor paints at Jebel Ali, Dubai, has collected the following information regarding the capacities (in units) and demand forecast for the next 9 months

a) Develop a chase plan to meet the monthly demand using regular-
time production, overtime, and subcontracting.

b) If it is possible to use inventory, prepare another plan to meet the monthly demand using regular-time production, overtime, and subcontracting.

c) Compare the results of the two plans.

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MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP Demand 2,000 1,800 2,000 1,800 2,000 1,600 1,400 2,000 1,500 Regular-time 1,360 1,292 1,428 1,360 1,428 1,292 1,360 1,428 1,292 capacity Overtime capacity Subcontract capacity 340 323 357 340 357 323 340 357 323 400 400 400 400 400 400 400 400 400 400 Cost data are as follows: Regular-time cost per gallon Overtime cost per gallon Subcontracting cost per gallon Carrying cost per gallon per month AED 200 AED 220 AED 250 AED 20