Develop a production plan and calculate the annual cost for a firm whose demand forecast is fall, 10,100; winter 8,100; spring, 7,100; summer, 12,100. Inventory at the beginning of fall is 505 units. At the beginning of fall you currently have 30 workers, but you plan to hire temporary workers at the beginning of summer and lay them off at the end of summer. In addition, you have negotiated with the union an option to use the regular workforce on overtime during winter or spring only if overtime is necessary to prevent stockouts at the end of those quarters. Overtime is not available during the fall. Relevant costs are hiring, $100 for each temp; layoff, S200 for each worker laid off, inventory holding, S5 per unit-quarter; backorder, $10 per unit; straight time, $5 per hour, overtime, S8 per hour. Assume that the productivity is 0.5 unit per worker hour, with eight hours per day and 60 days per season. In each quarter, produce to the full output of your regular workforce, even if that results in excess production. In Winter and Spring, use overtime only if needed to meet the production required in that quarter. Do not use overtime to build excess inventory in prior seasons expressly for the purpose of reducing the number of temp workers in Summer. (Leave no cells blank be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Round up "Number of temp workers, Workers hired and Workers laid off" to the next whole number and all other answers to the nearest whole number.) Fall Winter Spring 7.100 Summer Forecast 10,100 8,100 12.100 200 505 100 Beginning inventory 7035 9595 11000 11935 Production required Production hours required 19190 22000 14070 23870 14400 14400 14400 14400 Production hours available 0 0 0 Overtime hours Temp workers2 10 4 0 20 4800 1920 0 9600 Temp worker hours available 19200 16320 144000 24000 Total hours available Actual production 9600 8160 7200 12000 65 165 65 Ending inventory 10 0 20 Workers hired 6 4 20 Workers laid off Summer Fall Winter Spring 72000 72000 72000 72000 Straight time S S 0 0 0 0 Overtime 1275 175 575 575 Inventory 0 Backorder 1000 2000 Hiring 0 1200 800 4000 Layoff 74275 73375 73375 78575 Total S S 299600 Annual cost Develop a production plan and calculate the annual cost for a firm whose demand forecast is fall, 10,100; winter 8,100; spring, 7,100; summer, 12,100. Inventory at the beginning of fall is 505 units. At the beginning of fall you currently have 30 workers, but you plan to hire temporary workers at the beginning of summer and lay them off at the end of summer. In addition, you have negotiated with the union an option to use the regular workforce on overtime during winter or spring only if overtime is necessary to prevent stockouts at the end of those quarters. Overtime is not available during the fall. Relevant costs are hiring, $100 for each temp; layoff, S200 for each worker laid off, inventory holding, S5 per unit-quarter; backorder, $10 per unit; straight time, $5 per hour, overtime, S8 per hour. Assume that the productivity is 0.5 unit per worker hour, with eight hours per day and 60 days per season. In each quarter, produce to the full output of your regular workforce, even if that results in excess production. In Winter and Spring, use overtime only if needed to meet the production required in that quarter. Do not use overtime to build excess inventory in prior seasons expressly for the purpose of reducing the number of temp workers in Summer. (Leave no cells blank be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Round up "Number of temp workers, Workers hired and Workers laid off" to the next whole number and all other answers to the nearest whole number.) Fall Winter Spring 7.100 Summer Forecast 10,100 8,100 12.100 200 505 100 Beginning inventory 7035 9595 11000 11935 Production required Production hours required 19190 22000 14070 23870 14400 14400 14400 14400 Production hours available 0 0 0 Overtime hours Temp workers2 10 4 0 20 4800 1920 0 9600 Temp worker hours available 19200 16320 144000 24000 Total hours available Actual production 9600 8160 7200 12000 65 165 65 Ending inventory 10 0 20 Workers hired 6 4 20 Workers laid off Summer Fall Winter Spring 72000 72000 72000 72000 Straight time S S 0 0 0 0 Overtime 1275 175 575 575 Inventory 0 Backorder 1000 2000 Hiring 0 1200 800 4000 Layoff 74275 73375 73375 78575 Total S S 299600 Annual cost