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Calculation Problem (6 marks) A manufacturer of bicycle parts is looking at the expected demand for all of their seats over the next 6 months.

Calculation Problem (6 marks)

A manufacturer of bicycle parts is looking at the expected demand for all of their seats over the next 6 months. They want to plan out a level production strategy in the charts below

Chart 1

Fill out the inventory production amounts and the inventory levels for each month.

The starting inventory is 300 units.

Month Starting values 1 2 3 4 5 6 Total
Demand 1000 1400 1200 1300 1100 900
Production
Inventory

Chart 2

In this plan the company wants to see the effects of finishing with an additional 600 units, making the ending inventory 900 units. The starting inventory is 300 units.

Month Starting values 1 2 3 4 5 6 Total
Demand 1000 1400 1200 1300 1100 900
Production
Inventory

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