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Jupiter, a large candy company, is having great success with its Swan family of candy bars. Due to a number of factors they like to

Jupiter, a large candy company, is having great success with its "Swan" family of candy bars. Due to a number of factors they like to plan their production at least nine months into the future. The table below contains their demand projections (in tons) for April through December:

Supply/Demand Info

Beginning

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Predicted sales

3,000

2,200

1,900

2,000

2,400

3,200

4,800

2,700

3,600

Regular production

Overtime production

Subcontract production

Ending inventory

600

Hired employees

Fired employees

Total employees

80

Cost variables are as follows:

Cost Variables

Labor cost/hour

$14

Overtime cost/ton

$66

Subcontracting cost/ton

$75

Holding cost/ton/month

$9

Hiring cost/employee

$1,200

Firing cost/employee

$1,500

Here is some additional relevant (capacity) information:

Capacity Information

Total labor hours/ton

4

Regular production tons/employee/month

25

Max regular production/tons/month

3,000

Max overtime production/tons/month

1,500

Max subcontractor production/tons/month

2,000

Given the above information (and don't overlook beginning number of employees and inventory levels in the first table), create a level production plan with only the use of regular production and no inventory left over at the end of the six-month period.

What is the regular production cost (over the six months from January through June) for a level production plan?

What is the total overtime production cost for this production plan?

What is the total subcontract cost for this production plan?

What is the total holding cost for this production plan?

What is the total hire cost for this production plan?

What is the total fire cost for this production plan?

What is the total cost (sum of all costs) for this production plan?

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