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A large Billings, MT feed mill Longhorn Processing, prepares its 6-month aggregate plan by forecasting demand for 50-LB bags of cattle feed as follows: January,
A large Billings, MT feed mill Longhorn Processing, prepares its 6-month aggregate plan by forecasting demand for 50-LB bags of cattle feed as follows: January, 1.000 bags: February 1,500: March 1650: April 1550: May 1900; and June 1,500. The feed mill plans to begin the new year with no inventory left over from the previous year, and backorders are not permitted. It projects that capacity during regular hours) for producing bags of feed will remain constant at 800 until the end of Apri, and then increase to 1.100 bags per month when the planned expansion is completed on May 1 Overtime capacity is set at 300 bags per month until the expansion, at which time it will increase to 400 bags per month. A friendly competitor in Grand Forks, ND is also available as a backup source (subcontractor) to meet demand but can provide only 500 bags per month during the 6-month period. Cost on regular time per bag is $12.50 Overtime cost is $6.25 extra, subcontracting cost $21.50. Carrying cost is 1.75 per bag Develop a 6-month production plan for the feed mit using the transportation method a. What is the total cost of the plan? Select t. What there a need to hold bags from one period to the next throughout the planning period Select If so, how many bags and what was the of the bags including the holding costi? Select Was there any regular time unused? Select It so, how much Select d. What there any subcontracting that was unused? Select If so, how many units? Select A large Billings, MT feed mill Longhorn Processing, prepares its 6-month aggregate plan by forecasting demand for 50-LB bags of cattle feed as follows: January, 1.000 bags: February 1,500: March 1650: April 1550: May 1900; and June 1,500. The feed mill plans to begin the new year with no inventory left over from the previous year, and backorders are not permitted. It projects that capacity during regular hours) for producing bags of feed will remain constant at 800 until the end of Apri, and then increase to 1.100 bags per month when the planned expansion is completed on May 1 Overtime capacity is set at 300 bags per month until the expansion, at which time it will increase to 400 bags per month. A friendly competitor in Grand Forks, ND is also available as a backup source (subcontractor) to meet demand but can provide only 500 bags per month during the 6-month period. Cost on regular time per bag is $12.50 Overtime cost is $6.25 extra, subcontracting cost $21.50. Carrying cost is 1.75 per bag Develop a 6-month production plan for the feed mit using the transportation method a. What is the total cost of the plan? Select t. What there a need to hold bags from one period to the next throughout the planning period Select If so, how many bags and what was the of the bags including the holding costi? Select Was there any regular time unused? Select It so, how much Select d. What there any subcontracting that was unused? Select If so, how many units? Select
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