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Design a spreadsheet that can be used to evaluate aggregate plans. The spreadsheet should enable the evaluation of: pure strategy based on leveling production, pure

Design a spreadsheet that can be used to evaluate aggregate plans. The spreadsheet should enable the evaluation of:

  1. pure strategy based on leveling production,
  2. pure strategy based on minimizing inventory by laying off/hiring as needed,
  3. a mix of the above two.

The spreadsheet should have the following headings:

1 2 3 4 5 6 7 8 9 10 11
Sales in Production
Month Sales labor-hour Working labor-hour Number of Workers Workers Beginning Ending Backorder
(Million) (000s) days (000s) Workers Hired Fired Inventory Inventory

All but columns 1, 2, and 4 should be computed using cell formulas. Column 5 should allow for using cell formulas in the case of level production or direct input for mixed plans. The cost of any plan, in total and for each cost component, should be computed without additional effort. Assume an 8-month horizon and use the following data to test your spreadsheet:

Sales per direct labor hour $30
Hiring cost $ 300.0
Firing cost $ 500.0
Regular labor cost per hour $ 15.00
Overtime premium cost per hour $ 7.50
Backorder cost per month 2%
Inventory carrying cost per month 1%
Beginning inventory $ 400000
Desired ending inventory in September $ 0
Number of Employees as of end of December 1900

Month Sales Working
(Million) days
January 8.0 20
February 7.4 21
March 11.2 23
April 11.0 20
May 9.8 22
June 8.0 22
July 8.0 10
August 10.6 23
September 9.4 20

I'm getting stuck trying to find the ending inventory and total cost. Once I put it in the solver, it messes up my spreadsheet

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