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The production planning period for at-screen monitors at Louisiana's Rao Electronics, Inc., is 4 months. Cost data are as follows: Regular-time cost per monitor $70
The production planning period for at-screen monitors at Louisiana's Rao Electronics, Inc., is 4 months. Cost data are as follows: Regular-time cost per monitor $70 Overtime cost per monitor $110 Subcontract cost per monitor $120 Carrying cost per monitor per month $2 For each of the next 4 months, capacity and demand for at-screen monitors are as follows: D Period Month 1 Month 2 Month 33 Month 4 Demand 2,000 2,500 1,300 2,200 Capacity Regular time 1,600 1,600 650 1,700 Overtime 400 400 100 400 Subcontract 700 600 700 600 aFactory closes for 2 weeks of vacation. CEO Mohan Rao expects to enter the planning period with 400 monitors in stock. Backordering is not permitted (meaning, for example, that monitors produced in the second month cannot be used in the rst month to cover rst month's demand). Minimizing total cost using the transportation method, the total cost is $ (enter your response as a whole number). s Get more help A Clear all
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