Deb Bishop Health and Beauty Products has developed

a new shampoo, and you need to develop its aggregate schedule.

The cost accounting department has supplied you the costs

relevant to the aggregate plan, and the marketing department has

provided a four$-$quarter forecast. All are shown as follows:

QUARTER FORECAST

$11,400$

$21,200$

$31,500$

$41,300$

COSTS

Previous quarter$$s output $1,500$ units

Beginning inventory $0$ units

Stockout cost for backorders $$50$ per unit

Inventory holding cost $$10$ per unit for every unit held at

the end of the quarter

Hiring workers $$40$ per unit

Layoff workers $$80$ per unit

Unit cost $$30$ per unit

Overtime $$15$ extra per unit

Subcontracting Not available

Your job is to develop an aggregate plan for the next four quarters. What is the total cost of using a chase strategy? What is the total cost of using a level strategy?