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Schedule D: Suppose the regular rate of production is 700 units per period. You are not allowed to produce anything on an overtime basis; further,

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Schedule D: Suppose the regular rate of production is 700 units per period. You are not allowed to produce anything on an overtime basis; further, the subcontractor has gone out of business. You can hire two temporary workers during the periods 3,4 , and 5 . Each worker can produce 100 units per period at the regular cost. But it costs $300 to train a worker and check the quality of the product during each of the three periods. (19) The average inventory for the first period is: (a)50(b)100(c)150(d)200 (20) The average inventory for the fifth period is: (e) none of the above (a) 50 (b)100(c)150 (d) 200 (e) none of the above (21) The total cost of over-time production for the all the six periods is: (a) \$1 (b) $0 (c) \$2 (d) \$3 (e) None of the above (22) The additional cost associated with the temporary workforce for all the six periods is: (a) $400 (b) $1800 (c) $2400 (d) $3000 (e) None of the above (23) The back-order cost for the fifth period is: (a)$200(b)$400(c)$500(d)$1000(e)noneoftheabove (24) The total cost of meeting the demand is: (a) $17,700 (b)$18,900(c)$18,300 (d) $17,200 (c) none of the above (25) Which of the following options would help the manager in minimizing the total costs? (a) Regular time production only (b) Combination of regular and overtime production (c) Combination of regular and overtime production, and subcontracting (d) Combination of regular and overtime production, and temporary workforce (e) None of the above Productions costs are as follows: (a) regular time: \$3 per unit. (b) over-time: \$5 per unit. (c) subcontract: \$7 per unit. (d) Inventory carrying cost =$2 per unit per period (e) Back-order costs =$5 per unit per period. You have to meet all the demand. You start with no inventory at the beginning of the first period, and end with no inventory at the end of the sixth period

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