Aggregate Production Planning Requirements

Time Period February March April May

Forecast $90,00065,000110,00055,000$

Beginning Inventory $000$

Production Required $($Forecast $-$ Beginning inventory$)90,00065,000110,000$

Production hours required $($# units $*$ Production Time per unit$)22,50016,25027,500$

Regular workforce $141102172$

Regular production $($Production hrs available $/$ Labor hrs required per unit$)90,00065,000110,000$

Overtime hours $005,000$

Overtime production $0020,000$

Total production $($Production hours required $/$ Production time per unit$)90,00065,000110,000$

Ending Inventory $($Beginning inventory $+$ Actual production $-$ Demand forecast$)000$

Ending backorders $00$

Workers hired $2500$

Workers laid off $025$

Straight Time $($Production hrs available x Straight time labor cost$)$

Overtime

Inventory cost

Backorder cost

Hiring cost

Layoff cost

Total costs

Total Cost