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Part 1 Given the following: Quarter Demand 1 1000 3100 5000 23 Regular Prod. Capacity Overtime Prod. Capacity Subcontracting Capacity Beginning Inventory = =

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Part 1 Given the following: Quarter Demand 1 1000 3100 5000 23 Regular Prod. Capacity Overtime Prod. Capacity Subcontracting Capacity Beginning Inventory = = 1100 units/qtr Regular Prod. Cost Overtime Prod. Cost = $8/unit $12/unit Inventory Cost 600 units/qtr 2000 units/qtr = 250 units Subcontracting Cost = $20/unit = $5/unit/qtr This company does not want to use backorders Period of Use Period of Production 1 2 3 Capacity Beginning Inventory Regular 2 Overtime Subcontract Regular Overtime Subcontract Regular 3 Overtime Subcontract Demand B A Completely fill in the Transportation tableau including the production plan. 1. What is the value of A?

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