Dwayne Cole, owner of a Florida firm that manufactures display cabinets, develops an 8-month aggregate plan. Demand and capacity (in units) are forecast as follows: Capacity 245 Source (units) Jan. Feb. Regular time 220 Overtime Subcontract Demand 25 24 12 16 245 284 Mar. Apr. May June July Aug. 290 300 290 290 300 310 28 24 30 26 30 30 17 17 19 24 20 15 323 307 320 318 350 360 The cost of producing each unit is $1,000 on regular time, $1,200 on overtime, and $1,800 on a subcontract. Inventory carrying cost is $200 per unit per month. There is no beginning or ending inventory in stock, and no backorders are permitted from period to period. Let the production (workforce) vary by using regular time first, then overtime, and then subcontracting. a) Set up a production plan that minimizes cost by producing exactly what the demand is each month. This plan allows no backorders or inventory. What is this plan's cost? Set up a production plan. (Enter your responses as whole numbers.) Month Regular time Jan. Overtime D Subcontract Shortage U Demand 245

The cost of producing each unit is $1,000 on regular time, $1,200 on overtime, and $1,800 on a subcontract inventory carrying cost is $200 pet unit por month. There is no beginning or ending inventory in stock, and no bockordors are permited from period to period tef the production (worktorce) vary by using regular time first, then overtime, and then subcontrecting. a) Set up a production plan that minimizes cost by producing exactly what the demand is each month. This plan allows no backorders or inventory. What is this plan's cost? Set up a production plan. (Enter your responses as whole numbers.)