Question
JokersRWild makes playing cards in several different styles, but a standard deck of cards is used for planning purposes. The average worker at JokersRWild can
JokersRWild makes playing cards in several different styles, but a standard deck of cards is used for planning purposes. The average worker at JokersRWild can make 10,000 sets of decks of cards per month at a cost of $1.10 per deck during regular production and $1.40 during overtime. The company currently employs 15 workers. Experience shows that it costs $550 to hire a worker and $550 to fire a worker. Inventory carrying cost is $.26 per deck per month.
The beginning inventory is 30,000, and at least that amount is desired each month. Assume hiring and layoff/firing, if necessary, occur at the beginning of the month.
a. Given the above demand estimate, develop a six-month production plan based on level production. (Leave no cells blank be certain to enter "0" wherever required.) b. Determine the cost of the level production plan. c. Develop a six-month production plan based on chase by using overtime (no workers will be fired and inventory increases if necessary). (Leave no cells blank - be certain to enter "0" wherever required.) d. Determine the cost of the chase production plan. e. Develop a six-month production plan based on chase by changing workforce level. (Leave no cells blank - be certain to enter "0" wherever required.) f. Determine the cost of the chase production plan by changing workforce level
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started