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The personnel department of a company wants to know how many workers will be needed each month for the next six - month production period.

The personnel department of a company wants to know how many workers will be needed each month
for the next six-month production period. The following table shows the monthly demand forecast for the
six-month period.
The inventory on hand at the end of June was 500 units. The company wants to maintain a minimum
inventory of 300 units each month and would like to have 400 units on hand at the end of December.
Each unit requires 5 employee-hours to produce, there are 20 working days each month, and each
employee works an 8-hours day. The workforce at the end of June was 35 workers. Assume Hiring cost
=$500 and Firing cost =$1,000
a) Determine a minimum inventory production plan (chase strategy)
b) Determine the total cost for part a
c) Determine the level production plan that meets demand but does not hire or fire workers during the
six-month period.
d) Determine the total cost for part c
e) Construct the LP model for the problem and determine the optimal solution using LINDO
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