The Silver Star Bicycle Company will be manufacturing both men's and women's models of its Easy-Pedal 10-speed wants to develop a production schedule indicating how many bicycles during the next two months. Management bicycles of each model should be produced in each month. Current demand forecasts call for 150 men's and 125 women's models to be shipped during the and 220 men's and 170 women's models to be shipped during st on the second month. Additional data are shown: Production Labor Requirements (hours) Current Model Costs Manufacturing Assembly Inventory Men's $130 2.3 1.2 30 Women's $100 1.6 1 40 Last month the company used a total of 1000 hours of labor. The company's labor relations policy will not allow the combined total hours of labor (manufacturing plus assembly) to increase or decrease by more than 100 hours from month to month. In addition, the company charges monthly inventory at the rate of 2% of the production cost based on the inventory levels at the end of the month. The company would like to have at least 35 units of each model in inventory at the end of the two months. a. Establish a production schedule that minimizes production and inventory costs and satisfies the labor-smoothing, demand, and inventory requirements. What inventories will be maintained, and what are the monthly labor requirements? If required, round your answers to the nearest whole number. If an amount is zero, enter "0 Production schedule: The optimal solution is to produce 150 X of the men's model in month 1, 165 X of the men's model in month 2, 95 X units of the women's model in month 1, and 195 X of the women's model in month 2. Total Cost $ 78,120 X The Silver Star Bicycle Company will be manufacturing both men's and women's models of its Easy-Pedal 10-speed wants to develop a production schedule indicating how many bicycles during the next two months. Management bicycles of each model should be produced in each month. Current demand forecasts call for 150 men's and 125 women's models to be shipped during the and 220 men's and 170 women's models to be shipped during st on the second month. Additional data are shown: Production Labor Requirements (hours) Current Model Costs Manufacturing Assembly Inventory Men's $130 2.3 1.2 30 Women's $100 1.6 1 40 Last month the company used a total of 1000 hours of labor. The company's labor relations policy will not allow the combined total hours of labor (manufacturing plus assembly) to increase or decrease by more than 100 hours from month to month. In addition, the company charges monthly inventory at the rate of 2% of the production cost based on the inventory levels at the end of the month. The company would like to have at least 35 units of each model in inventory at the end of the two months. a. Establish a production schedule that minimizes production and inventory costs and satisfies the labor-smoothing, demand, and inventory requirements. What inventories will be maintained, and what are the monthly labor requirements? If required, round your answers to the nearest whole number. If an amount is zero, enter "0 Production schedule: The optimal solution is to produce 150 X of the men's model in month 1, 165 X of the men's model in month 2, 95 X units of the women's model in month 1, and 195 X of the women's model in month 2. Total Cost $ 78,120 X
