Leo's AP Case Information.

strategies to meet the forecasted demand over the six month planning horizon.

The monthly demand forecast is below:

Cost and Production Info:

Inventory Carrying Cost$-$per unit$/$month

Regular Pay$/$hour$--8$ hours daily

Regular hours$/$day$/$employee

Contract Manufacturing$--$cost$/$hour

Employee and Contract Manufacturing Productivity$--$units$/$hour

Leo's has no beginning inventory for the first month of the planning horizon.

$$0\mathrm{.}50$

$$18\mathrm{.}00$

$8$

$$30\mathrm{.}00$

$20$

Leo's is considering three aggregate planning strategies:

production for $5$ employees given $8$ hour work day $=20$ units$/$hour$/$employee $*5$ hours $*8$ hours$/$day $=800$ units$/$day$.$Stable workforce set at $4$ workers. Chase forecasted

demand using a contract manufacturer to produce

any remaining monthly forecasted demand.