1- The 6 month aggregate demand forecast for a product group produced by XYZ Company...
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Accounting
1- The 6 month aggregate demand forecast for a product group produced by XYZ Company are 350, 400, 350, 550, 500, 600 units, respectively. The relevant unit costs and plans to be used are given below. normal working cost = $10/unit overtime cost-$15/unit outsourcing cost-$20/unit overtime capacity=%20*normal outsourcing capacity=%30*normal holding cost - S1/unit/month capacity increase cost = $1/unit capacity decrease cost = $1.5/unit unmet demand cost=S1/unit/month Plan 1: Keep the fixed capacity to meet the monthly average demand, make stock when necessary, and the unmet demand is lost. Plan2: Follow the demand changing the capacity. Plan 3: Keep the capacity 400 units per month and use outsourcing and overtime to meet the demand Create the aggregate plans of the above plans and calculate the total profit for each plan
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