Question
Based on the dataset, apply Wagner Within method and calculate total costs for each period ! An item is manufactured to meet known demand for
Based on the dataset, apply Wagner Within method and calculate total costs for each period !
An item is manufactured to meet known demand for four periods according to the following data : Unit production cost (Euro per period) Production range (units) Period 1 Period 2 Period 3 Period 4 Machine 1 : 1-3 1 2 2 3 Machine 2 : 4-11 1 4 5 4 Machine 3 : 12-15 2 4 7 5 Machine 4 : 16-25 5 6 10 7 Unit holding cost to next period (Euro) 0.3 0.35 0.2 0.25 Total demand (units) 11 4 17 29 Conditions: 1. Each machine has production minimum and maximum capacity according to its production range. 2. Demand in each period must be satisfied within one period. 3. In each period, a machine cannot be used more than once.
- A. Period 1 : $ 11; Period 2 : $ 16; Period 3 : $106; Period 4 : $135
- B. Period 1 : $ 16.2; Period 2 : $ 0; Period 3 : $277.8; Period 4 : $0
- C. Period 1 : $ 102.25; Period 2 : $ 0; Period 3 : $0 ; Period 4 : $135
- D. Period 1 : $ 11; Period 2 : $ 83.95; Period 3 : $0 ; Period 4 : $79
- E. Period 1 : $ 11; Period 2 : $ 16; Period 3 : $279.25 ; Period 4 : $0
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