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(A) You are running a production operation per the 6-month aggregate plan in the table below. You have decided to employ 6 full-time workers
(A) You are running a production operation per the 6-month aggregate plan in the table below. You have decided to employ 6 full-time workers working 40 hours per week, and with overtime as needed to produce per the 6-month average demand per day. Any additional production over the monthly demand is put into inventory. You have no inventory when production starts in January. What is the production cost for the six months? Answer box: Inventory Holding Cost= Regular Time Hours per Day = Regular Time labor Over Time labor= Labor hours to produce a unit= Number full-time workers employed = S8 per unit per month $14 $21.00 per hour per hour hours per unit 2.0 6.
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