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The president of Hill Enterprises, Tern Hill, projects the firm's aggregate demand requirements over the next 8 months as follows January 1,400 May 2,300 1,600

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The president of Hill Enterprises, Tern Hill, projects the firm's aggregate demand requirements over the next 8 months as follows January 1,400 May 2,300 1,600 June 2,300 February March April 1,600 July 1,900 1,700 August 1,900 Her operations manager is considering a new plan, which begins in January with 200 units of inventory on hand Stockout cost of lost sales is $100 per unit Inventory holding cost is $25 per unit per month. Ignore any idle-time costs. The plan is called plan A Plan A: Vary the workforce level to execute a strategy that produces the quantity demanded in the pror month. The December demand and rate of production are both 1,600 units per month The cost of hiring additional workers is $50 per unit. The cost of laying off workers is $80 per unit Evaluate this plan (Enter all responses as whole numbers) Note: Both hining and tavolf costs are incurred in the month of the chance. For example: going from 1 600 in January to 1:400 in February incurs a cost of lavoff for 200 units in Period Month 0 December 1 January 2 February 3 March 4 April 5 May 6 June 7 July Demand Production 1,600 1,600 1,400 1,600 1,600 1,400 1,600 1,600 1,700 1,600 2,300 1,700 2,300 2,300 1,900 2,300 Hire (Units) Layoff Ending (Units) Inventory 200 Stockouts (Units) The president of Hill Enterprises, Tern Hill, projects the firm's aggregate demand requirements over the next 8 months as follows January 1,400 May 2,300 1,600 June 2,300 February March April 1,600 July 1,900 1,700 August 1,900 Her operations manager is considering a new plan, which begins in January with 200 units of inventory on hand Stockout cost of lost sales is $100 per unit Inventory holding cost is $25 per unit per month. Ignore any idle-time costs. The plan is called plan A Plan A: Vary the workforce level to execute a strategy that produces the quantity demanded in the pror month. The December demand and rate of production are both 1,600 units per month The cost of hiring additional workers is $50 per unit. The cost of laying off workers is $80 per unit Evaluate this plan (Enter all responses as whole numbers) Note: Both hining and tavolf costs are incurred in the month of the chance. For example: going from 1 600 in January to 1:400 in February incurs a cost of lavoff for 200 units in Period Month 0 December 1 January 2 February 3 March 4 April 5 May 6 June 7 July Demand Production 1,600 1,600 1,400 1,600 1,600 1,400 1,600 1,600 1,700 1,600 2,300 1,700 2,300 2,300 1,900 2,300 Hire (Units) Layoff Ending (Units) Inventory 200 Stockouts (Units)

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