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ShredX makes snowboards. The company's expected quarterly demand is given in the table. The company will have a beginning inventory of 300 snowboards as safety
ShredX makes snowboards. The company's expected quarterly demand is given in the table. The company will have a beginning inventory of 300 snowboards as safety stock.
Below is other planning data:
a) LEVEL plan total cost =
b) CHASE plan total cost
Production cost per unit =$200 Inventory carrying cost =$50 per unit per quarter Backorder cost =$100 per unit per quarter Current number of workers =40 Hiring cost =$500/ worker Firing cost =$750/ worker Each worker can produce 100 units per quarter Level Plan at Average Chase PlanStep by Step Solution
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