Qmb Chapter 13 Practice Questions

problem 1 step 1 data input plan A level aggregate plan using inventory and back orders cost data regular time labor cost per hr 10 step 2 production rate overtime labor cost per hr 15 total demand 34000 34000 subcontracting cost per unit labor only 84 number of periods 6 400 holding cost per unit per period 10 33600 net inventory demand back order cost per unit per period 20 step 3 5600 aggregate level production rate hiring cost per employee 600 number of workers to produce firing cost per employee 450 reg time available per period 160 capacitiy data each unit labor hrs per period 6 begin workforce employees 210 each employee produces 26.67 begin inventory units 400 number of workers needed 210 labor standard per unit 6 workers on hand 210 reg time avail per period 160 hire hire 0 overtime aval per period 32 fire hire 0 subcontracting max per period 1000 subcontracting min per period 500 step 4 1 2 3 4 5 6 totals demand data demand 6000 4800 7840 5200 6560 3600 34000 if negative= excess inventory period 1 6000 cum demand units 5600 10400 18240 23440 30000 33600 if postive = not enough inventory to meet demand period 2 4800 prod. Per period units 5600 5600 5600 5600 5600 5600 33600.00 and must use back order units period 3 7840 cum produ. Units 5600.00 11200.00 16800.00 22400.00 28000.00 33600.00 period 4 5200 cum dem minus cum. Prod. Units 0.00 -800.00 1440.00 1040.00 2000.00 0.00 too much or not enough inventory period 5 6560 ending inventory units FALSE FALSE 0 0 0 FALSE 1 2 3 4 5 6 period 6 3600 FALSE -800 FALSE FALSE FALSE FALSE 800 not enough inventory too much inventory