Computer's R Us, is a manufacturer of computer keyboards. The requirements over a typical six- month period are as follows; Requirement Produce # of Employees Hire Layoff Beginning Inventory Ending Inventory Average Inventory 1 500 2 625 The current workforce level is 4 workers. Production rate is 125/worker/month. 3 625 The following costs apply:Wages = $2,250/worker/month Hiring cost = $200/worker Layoff Cost = $250/worker Inventory holding cost = $1/unit/month Back ordering cost = $2/unit/month 4 750 5 500 6 375 If a Chase strategy is applied, and hiring or layoffs are used as needed, what is the cost of regular wages?

Computers R Us, is a manufacturer of computer keyboards. The requirements over a typical sixmonth period are as follows; The current workforce level is 4 workers. Production rate is 125/ worker/month. The following costs apply: Wages =$2,250/ worker/month Hiring cost =$200/ worker Layoff Cost =$250/ worker Inventory holding cost =$1/ unit/month Back ordering cost =$2/ unit/month If a Chase strategy is applied, and hiring or layolis are used as needed, what is the cost of regular wages