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6. A manufacturer has the following information on its major product. Regular time production capacity is 2600 units /period at Rs. 100/unit. Overtime production capacity
6. A manufacturer has the following information on its major product. Regular time production capacity is 2600 units /period at Rs. 100/unit. Overtime production capacity is 300 units /period at an incremental cost of Rs. 20/unit. Beginning Inventory is 400 units. Demand for periods 1, 2 and 3 are 4000, 2300 and 2400 units respectively. Develop the aggregate plan so that there will be zero inventory at the end of period 3 and determine the total cost of the plan. The cost of unutilized capacity during regular time is Rs. 50/unit
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