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The demand for a product and number of working days for a period of 6 months are as follows: January 2000 February March 2500 3000

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The demand for a product and number of working days for a period of 6 months are as follows: January 2000 February March 2500 3000 April 5000 May 1000 June 3500 Demand forecast Number of working days 22 20 19 22 18 20 Other relevant information: $2/unit/month $5/unit/month Inventory holding cost Marginal cost of stockout Marginal cost of subcontracting Hiring and training cost Layoff cost Labor hrs required straight time cost Overtime cost $15/unit/month $250/worker $175/worker 4/unit $4/hr $6/hr May Beg inventory 300 Safety stock 20% of demand forecast The aggregate operations plan has been provided below for your reference. January February March April Beg Inv 300 400 500 600 1000 Demand forecast 2000 2500 3000 5000 1000 Safety stock 400 500 600 1000 200 Production requirement 2100 2600 3100 5400 200 Ending iny 400 500 600 1000 200 June 200 3500 700 4000 700 For production plan 2 (vary inventory), what is the beginning inventory for the month of May? 248 300 O O O O -248 500

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