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Please complete all parts with details SummerFun, Inc., produces a variety- of recreation and leisure products. The production manager has developed an aggregate forecast: Use
Please complete all parts with details
SummerFun, Inc., produces a variety- of recreation and leisure products. The production manager has developed an aggregate forecast: Use the following information to develop aggregate plans. Develop an aggregate plan using each of the following guidelines and compute the total cost for each plan. Which plan has the lowest total cost? Use regular production. Supplement using inventory, overtime, and subcontracting as needed. No backlogs allowed. Use a level strategy. Use a combination of backlogs, subcontracting, and inventory to handle variations in demand. Here the total of Regular+Overtime+Subcontract is remaining the same (Level). Calculate it for the first period and then keep it fixed for the rest of periods. As a result we will have backlog in some periodsStep by Step Solution
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