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A company believes that its demand for the next six months is as follows: the output per worker per month is 50 units. The per
A company believes that its demand for the next six months is as follows:
Month Demand 1 5,500 2 5,000 3 7,000 4 5,000 5 7,500 6 12,000 Total 42,000 Month Demand Beginning Inventory Production Ending Inventory Stockouts 1 5,500 the output per worker per month is 50 units. The per worker hiring and layoff costs are $1.500 and $3,000, respectively. There is no beginning inventory, and the starting workforce is 210. It cost the company $10 to carry an item in inventory each month, and the stockout costs is estimated to be $75 per unit. Develop a level sales and operations plan for this firm. Develop the monthly production and show the labor workforce and inventory levels. Finally, compute the cost of the plan.
Construct the production table. Note that a negative beginning inventory denotes a stockout that is carried forward (enter responses as whole numbers)
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