Estimated monthly demands of product Q for the next year:

Month	1	2	3	4	5	6	7	8	9	10	11	12
Demand	900	850	650	850	1000	70	50	60	120	80	150	100

The production manager wants to minimize the total costs of inventory and shortage. What capacity planning strategy do you suggest? Compute the resulting inventory and shortage of your strategy.

Show all steps and calculation. Provide formula better.